Document Type : Research Paper

Authors

1 PhD student

2 Associate Professor

3 Professor of Economics, Department of Economics, Allameh Tabatabai University, Tehran,Iran

4 Agricultural Economics Research Group , Faculty of Economics Research , Tarbiat Modares University

10.22054/ijer.2025.83282.1330

Abstract

The challenges of policy making in the current evolving world have caused the idea of presenting hybrid models to analyze the causes of policy success and failure should be considered in recent years. Studies show that institutional and behavioral approaches face challenges in adequately explaining policy failure. The institutional approach does not provide an adequate explanation for policy mistakes in a democratic structure, and the behavioral approach cannot adequately explain the lack of policy reform despite nudges. o overcome these challenges, a new model for explaining policymaking has been proposed, relying on two institutional-behavioral approaches, which emphasizes the importance of institutions, heuristics, and the institutional structure in the success or failure of policymaking.

Using the comparative analysis method, indicators and policies in Iran in the housing and health sectors were examined., the share of housing and health costs in total urban household expenses in Iran is almost twice the global average, which means a failure of policymaking. The reason for this failure is, on the one hand, the gap between the country's institutional structure and the democratic system, which has a negative impact on the quality of policymaking. In addition, cognitive bias can be seen due availability heuristics in both housing and treatment sectors. In fact, the policy maker simply assumes that he can improve the conditions by using resources and increasing supply. Also, the policymaker neglects the effective laws and rules (institutions) in each sector, which is also very effective in the failure of policies

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