Polarization and Voluntary Compliance: The Impact of Ideological Extremity on the Effectiveness of Self-Regulation

New governance models increasingly employ self-regulation tools like pledges and nudges to achieve regulatory compliance. These approaches premise that voluntary compliance emerges from intrinsic motivation to cooperate rather than coercive measures. Central to their success is trust—both in government institutions and among citizens. However, rising societal polarization raises critical questions about the continued effectiveness of self-regulatory approaches. This paper examines how ideological extremity, a key dimension of polarization, affects cooperation in self-regulatory contexts. We theorize that ideological extremity erodes trust in government and interpersonal trust, thereby diminishing cooperative behavior and threatening self-regulation's viability. Furthermore, we propose that extremity transforms authority dynamics, with ideological orientation and partisan alignment increasingly determining cooperation levels. Using data from the European Social Survey (ESS) and World Value Survey (WVS), we find robust evidence that ideological extremity undermines cooperation through distinct mechanisms across the ideological spectrum. While our data has limitations, our findings have important implications for policymakers implementing self-regulation tools in polarized societies. The results suggest the need to carefully consider how ideological dynamics shape the effectiveness of voluntary compliance mechanisms.