Direct democracy vs managerialism

Shuggy asks a good question: is my support for direct democracy consistent with my opposition to managerialism? Or wouldn't direct democracy encourage more managerialist spinning, as politicians try harder to sell particular positions?
Possibly. But I reckon there should be four countervailing considerations here:
1. Wisdom of crowds. Sure, people are stupid. Often, though, one person's stupidity cancels out another's. But not always, as Bryan points out.
2. Demand-revealing referenda. People should vote with money, not just voice. And making people pay is a way of making them think.
So, for example, a referenda shouldn't ask: should Britain have an independent nuclear deterrent? It should ask: are you willing to pay £400 for an independent deterrent?
3. The death of the mass media. One essential bulwark against groupthink is that information and ideas come from diverse sources. Direct democracy - or indeed any well-functioning democracy - therefore requires that newspapers become less dominant.
You might reply here that there's already sufficient diversity in the media. Wrong. The MSM are homogenous, in the sense that all are hierarchic organizations which trust experts and leadership.
4. Institutions change character. Direct democracy should not be judged merely on its short-run effects. In the long-run, its greatest benefit could be that it encourages people to think and act for themselves, and look less to leaders and managers. It's in this sense that direct democracy undermines managerialism.
All this said, there are two caveats. First, I'm not advocating direct democracy as practical politics. Rather, I regard it as an ideal which highlights how inadequate our psuedo-democratic institutions are.
Second, the case for direct democracy is not merely consequentialist. A strong argument for it is that if public affairs impose upon my life and my money, I should have the biggest possible say in those affairs.

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