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Rent-Seeking in Developed and Developing Countries: Cross Section and Time Series Studies

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  • Dilek Demirbas

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    Abstract

    The property rights issue is one of the most important institutional differences between developed/developing countries. The violation of the property rights results with rentseeking. In order to see if the extent of rent-seeking differs significantly between developed and developing countries, I applied a cross section and a time series study with the intention to measure rent-seeking. I found that rent-seeking is low in developed countries whilst it is high in developing counterparts. Turkey, as a developing country was my special case to apply time series study to see if rentseeking vary over the years. In my additional work for Turkey, I found that there is a cointegrating relationship between rent- seeking as a percentage of the budget LnRt and government size ( LnGYt ), and GNP per capita income ( LnGNPCt ).

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    File URL: http://www.le.ac.uk/economics/research/RePEc/lec/leecon/econ99-2.pdf
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    Paper provided by Department of Economics, University of Leicester in its series Discussion Papers in Economics with number 99/2.

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    Date of creation: Apr 1999
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    Handle: RePEc:lec:leecon:99/2

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    Keywords: Rent-Seeking; Budgetary Allocation; Cross Section Study; Time Series Study;

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