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A Terrible Efficiency - Entrepreneurial Bureaucrats and the Nazi Holocaust (Hardcover, 1st ed. 2019)
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A Terrible Efficiency - Entrepreneurial Bureaucrats and the Nazi Holocaust (Hardcover, 1st ed. 2019)
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This book provides numerous examples that apply the modern theory
of bureaucracy developed in Breton and Wintrobe (1982 and 1986) to
the Nazi Holocaust. More specifically, the book argues, as do
Breton and Wintrobe (1986), that the subordinates in the Nazi
bureaucracy were not "following orders" as they claimed during the
war crimes trials at Nuremberg and elsewhere, but were instead
exhibiting an entrepreneurial spirit in competing with one another
in order to find the most efficient way of exacting the Final
Solution. This involved engaging in a process of exchange with
their superiors, wherein the subordinates offered the kinds of
informal services that are not codified in formal contracts. In
doing so, they were competing for the rewards, or informal payments
not codified in formal contracts, that were conferred by those at
the top of the bureaucracy. These came in the form of rapid
promotion, perquisites (pecuniary and in-kind), and other awards.
The types of exchanges described above are based on "trust," not
formal institutions.
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