ABSTRACT
According to the literature, the recipe for success of diffuse interests in public policy includes processes that neutralize the organizational advantages of clientele groups. The retreat of affected financial sector groups, mobilized in opposition to regulatory change, is also one of the main explanatory factors for the success of diffuse interests. The financial crisis and the subsequent industry retreat provide the contextual conditions for the political opportunities that opened up for diffuse interest groups and spurred the formation of collective action in the post-crisis regulatory environment. The organization as a coalition can provide sufficient resources to pro-reform groups to serve as a link between public opinion and decision-makers. As with political opportunities and organizational resources, powerful allies remain just as important to the fate of diffuse interests in public policy. Diffuse interest groups are dependent on elite allies that act as entrepreneurs on their behalf to actively promote policy change.
