This document outlines frameworks used in policy analysis and points of tension among them. It discusses the role of policy analysis in the policy cycle and common analytical frameworks including economic, social, environmental, legal, and political. These frameworks can conflict, such as when an economic framework prioritizes costs over social impacts. A case study on fuel subsidy policy in Indonesia is provided to illustrate tensions between prioritizing economic savings versus social, environmental, and political considerations. The conclusion emphasizes that comprehensive analysis using multiple frameworks can help address tensions and lead to better public policy outcomes.

1. Master of Public Policy
Flinders University,
South Australia
Presented By : Romal Uli Jaya Sinaga
Student ID. 210xxxx
1 May 2012

2. Outline of Presentation
 Background
 The Analyst’s Toolkit
 Point of Tension among frameworks
 Conclusion

3. BACKGROUND
 Policy Analysis is the next step in Policy Cycle
after the issues have been identified.
 It needs research To provide decision makers
with sufficient information about the policy
problems.
 Typically, the result are briefing papers for
senior official or ministers.
 To some extent, a policy needs to be analyzed
to make good policy.

4. I. The Analyst’s Toolkit
Approaches / Frameworks commonly used by
analyst :
1. Economic Framework
2. Social Framework
3. Environmental Framework
4. Legal Framework
5. Political Framework

5. 1. Economic Framework
The Major Frameworks commonly used by analysts,
based on Government preferences (Analytic
Hegemony) :
Examples :
a. Cost-Benefit Analysis
b. Cost-Effectiveness Analysis
c. Opportunity Costs
d. Market Competitiveness
e. Regulatory Impact

6. 2. Social Framework
Recognising dimensions which are difficult or
imposible to accommodate in economic framework
Examples :
a. Community Impact
b. Interest Group Impact
c. Community Values
d. Social Justice Principles
e. Cultural Heritage Impact

7. 3. Environmental Framework
Potential impact on the environment, especially if
considering approval for a major project.
Examples :
a. Environmental Impact Analysis
b. Ecologically Sustainable Development Principles
c. Environmental Quality
d. Habitat Preservation
e. Biodiversity
f. Sound Management of Natural Resources

8. 4. Legal Framework
Policies require legislation to give them effect, and all
policies take place in legal context (Government are
subject to the rule of law)
Examples :
a. Constitutionality
b. Head of Power
c. Fundamental Legislative Principles
d. Certainty, Equality, and Fairness of the Law
e. Access to the Law
f. Enforceability

9. 5. Political Framework
Political domain, based on governing party’s principles
& platform and sensitivity to the issues.
Examples :
a. Consistency with Governing Party Principles &
Policies
b. Consultation with Political Advisers
c. Agreement among Political Elites
d. Electoral Impacts
e. Expected Media Reception

10. II. Point of Tension among frameworks
• One approach is more dominant than others, e.g.
Economic Framework versus others.
• There are great dangers in analysing a problem solely
in economic approach, the others are also crucial
importance.
• The tension among them can be solved by consencus
/ agreement (Lindblom, 1959)
• Policy analysts must use judgement how much time
and thought to invest in a problem.

11. Example :
Subsidized Oil Pricing Policy in Indonesia
(Increasing the oil price)
• Economically : Saving fiscal / national budget
• Socially : Increasing on the number of poor people
• Enviromentally : To reduce production cost, many
companies will ignore the environment, e.g. the
process of waste disposal
• Legally : National Constitution stipulates the
maximizing oil resources to citizens, not to
multinational company.
• Politically : Government accountability (distrust),
especially for supporting political party. Can be a
trigger to topple government / president.

12. Conclusion
 Policy Analysis is needed to make a good policy.
 Analysts should consider which is the best
framework to use and provide the decision maker
a comprehensive analysis.
 The tension among approaches should be tackled
carefully (balancing between art and science).
 The more analysis is done, the better policy will
be achieved.

13. Thank You
Mauliate (in Batak Language)
By : Romal Uli Jaya Sinaga
Student ID. 210xxxx