Government transparency and expenditure in the rent-seeking industry: The case of Japan for 1998–2004
AbstractSince the end of the 1990s, local governments in Japan have enacted Information Disclosure Ordinances, which require the disclosure of official government information. This paper uses Japanese prefecture-level data for the period 1998–2004 to examine how this enactment affected the rate of government construction expenditure. The Dynamic Panel model is used to control for unobserved prefecture-specific effects and endogenous bias. The major finding is that disclosure of government information reduces the rate of government construction expenditure. This implies that information disclosure reduces losses from rent-seeking activity, which is consistent with public choice theory.
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Bibliographic InfoPaper provided by Economics and Econometrics Research Institute (EERI), Brussels in its series EERI Research Paper Series with number EERI_RP_2012_13.
Date of creation: 13 Sep 2012
Date of revision:
Information disclosure; Special interest group; Construction expenditure; Rent seeking.;
Other versions of this item:
- Eiji Yamamura & Haruo Kondoh, 2013. "Government Transparency And Expenditure In The Rent-Seeking Industry: The Case Of Japan For 1998–2004," Contemporary Economic Policy, Western Economic Association International, vol. 31(3), pages 635-647, 07.
- Yamamura, Eiji & Kondoh, Haruo, 2011. "Government transparency and expenditure in the rent-seeking industry: the case of Japan for 1998-2004," MPRA Paper 29689, University Library of Munich, Germany.
- D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
- D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation
- H79 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Other
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