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Political Competition and Bureaucratic Employment: A Formal Analysis of the Inefficiency in the Provision of Public Goods

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Listed:
  • Leonardo A. Gatica Arreola

    (Profesor-investigador, Departamento de Economía e Instituto de Investigación de Políticas Públicas, Centro Universitario de Ciencias Económico Administrativas (CUCEA), Universidad de Guadalajara. Zapopan, Jal. Mexico.)

  • Georgina Soto Sotomayor

    (Asesora económica, Comisión de Desarrollo Rural, H. Cámara de Diputados. México, D.F. Mexico.)

Abstract

This paper presents a formal model to explore the effect of political competition on government performance relative to the efficient provision of public goods and the size of bureaucracy. In contrast with other arguments that sustain there is a positive relationship between political competition and efficiency, the main result shows that political competition provides incentives for an excess of bureaucratic employment and an inefficient provision of public goods.

Suggested Citation

  • Leonardo A. Gatica Arreola & Georgina Soto Sotomayor, 2012. "Political Competition and Bureaucratic Employment: A Formal Analysis of the Inefficiency in the Provision of Public Goods," Economía Mexicana NUEVA ÉPOCA, CIDE, División de Economía, vol. 0(2), pages 351-372, July-Dece.
  • Handle: RePEc:emc:ecomex:v:21:y:2012:i:2:p:351-372
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    More about this item

    Keywords

    political competition; government efficiency; size of government.;
    All these keywords.

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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