Externalization of policy advice: Theory, methodology and evidence

This paper examines to what extent advisory activities previously performed inside the government have been relocated to places outside of government. Although this process, labelled as externalization of policy advice, is widely taken as a universal trend, here it is shown that empirical findings suggest a more complicated picture. The level of externalization differs across policy domains, countries and over time. There are also different meanings of externalization and it has both quantitative and qualitative dimensions. In this article it is argued that the provision of policy advice can be conceptualized in terms of two competing processes: externalization and filling-in. The strength of these processes depends upon a wide range of factors. An overview of the empirical findings on externalization is provided and the factors assumed to be conducive to externalization are outlined. The article concludes with implications for further research, arguing that empirical research should be more theory-driven and enhanced by the inclusion of other research designs and methods.