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Impact of rent-seeking on productivity in Chinese coal mine safety supervision: A simulation study

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  • Chen, Hong
  • Feng, Qun
  • Zhu, Dandan
  • Han, Shuai
  • Long, Ruyin

Abstract

During the “golden decade” (2001–2011) of the coal industry in China, rent-seeking increased in coal mine safety supervision alongside significant improvements in coal mine safety status and increased economic benefits in the coal industry. To explore this internal relationship, we developed a Matlab simulation system and simulated the impact of rent-seeking from each level of the supervision department on coal mine productivity in different scenarios. The results showed the following. (1) Rent-seeking had no significant influence on the average level of material productivity but it had an adverse effect on the average level of mental productivity. Due to the effects of rent-seeking, productivity tended to exhibit unstable and destructive fluctuations, and rent-seeking had the dual effect of promoting and restraining productivity in a wide range with a high frequency. (2) In the supervision scenario, supervision by the high-level department was efficient, and productivity was promoted more by the national and provincial supervision department. (3) In the rent-seeking scenario, each level of the department had an intensity threshold above which coal mine accidents occurred. We also propose suggestions that focuses on the improved supervision of Chinese coal mine safety in three areas based on the “new normal” safety concept.

Suggested Citation

  • Chen, Hong & Feng, Qun & Zhu, Dandan & Han, Shuai & Long, Ruyin, 2016. "Impact of rent-seeking on productivity in Chinese coal mine safety supervision: A simulation study," Energy Policy, Elsevier, vol. 93(C), pages 315-329.
    • Handle: RePEc:eee:enepol:v:93:y:2016:i:c:p:315-329
    DOI: 10.1016/j.enpol.2016.02.054
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    Cited by:

    1. Liu, Lu & Zhao, Qiuhong & Bi, Yanlin, 2020. "Why rent-seeking behavior may exist in Chinese mining safety production inspection system and how to alleviate it: A tripartite game analysis," Resources Policy, Elsevier, vol. 69(C).
    2. Jun Tu & Liangdong Wan & Zijiao Sun, 2023. "Safety Improvement of Sustainable Coal Transportation in Mines: A Contract Design Perspective," Sustainability, MDPI, vol. 15(3), pages 1-21, January.
    3. Xinhua Wang & Rongwu Lu & Hao Yu & Dan Li, 2019. "Stability of the Evolutionary Game System and Control Strategies of Behavior Instability in Coal Mine Safety Management," Complexity, Hindawi, vol. 2019, pages 1-14, February.
    4. Zhifang Zhou & Hong Zhou & Huixiang Zeng & Xiaohong Chen, 2018. "The impact of water information disclosure on the cost of capital: An empirical study of China's capital market," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 25(6), pages 1332-1349, November.
    5. Xun Liu & Xiaobo Li, 2022. "Exploring the Formation Mechanism of Unsafe Construction Behavior and Testing Efficient Occupational Health and Safety (OHS) Programs," IJERPH, MDPI, vol. 19(4), pages 1-19, February.
    6. Yongliang Deng & Liangliang Song & Zhipeng Zhou & Ping Liu, 2017. "An Approach for Understanding and Promoting Coal Mine Safety by Exploring Coal Mine Risk Network," Complexity, Hindawi, vol. 2017, pages 1-17, October.
    7. Liu, Quanlong & Wang, Jingzhi & Qiu, Zunxiang, 2023. "Data as evidence: Research on the influencing factors and mechanisms of coal mine safety supervision effect in China," Resources Policy, Elsevier, vol. 81(C).
    8. Li, Shuang & Yang, Qifeng & Zhang, Yuhang & Liu, Jiao, 2022. "Multi-agent evolutionary game analysis of the coal mine on-site regulatory mode," Resources Policy, Elsevier, vol. 77(C).
    9. Tianmo Zhou & Yunqiang Zhu & Kai Sun & Jialin Chen & Shu Wang & Huazhong Zhu & Xiaoshuang Wang, 2022. "Variance Analysis in China’s Coal Mine Accident Studies Based on Data Mining," IJERPH, MDPI, vol. 19(24), pages 1-27, December.
    10. Guoli Feng & Shengyue Hao & Xiaoguang Li, 2022. "Project Sustainability and Public-Private Partnership: The Role of Government Relation Orientation and Project Governance," Sustainability, MDPI, vol. 14(8), pages 1-20, April.
    11. Wang, Yuxin & Fu, Gui & Lyu, Qian & Wu, Yali & Jia, Qinsong & Yang, Xiaoyu & Li, Xiao, 2022. "Reform and development of coal mine safety in China: An analysis from government supervision, technical equipment, and miner education," Resources Policy, Elsevier, vol. 77(C).

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