“Mechanism design takes up Hume's challenge by designing games in which the knaves to whom power is delegated are treated as players. The checks in the constitution are the rules of the game. These are used to prevent a player going off the rails in situations that the designer can effectively monitor and evaluate. However, it is the controls that are more important, since these apply to decisions that the designer can't monitor, or doesn't know how to evaluate. To get the players to act in accordance with the designer's aims rather than their own in such situations, it is necessary that the payoffs of the game be carefully chosen to provide the right incentives.”
Book:Natural Justice