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Are democratic governments more efficient? Author info | Abstract | Publisher info | Download info | Related research | Statistics Adam, Antonis
Delis, Manthos D
Kammas, Pantelis
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This paper explores the relationship between public sector efficiency (PSE) and the level of democracy, both theoretically and empirically. At the theoretical level a simple model of elections with two time periods is presented, which takes into account whether the political regime is democratic or not. Specifically, we assume that elected officials in democracies are “more” accountable to voters than the respective ones in autocracies. This mechanism induces the democratic politicians to produce the public good in a more efficient way, in order to remain in power. In the empirical section we examine the effect of democracy on PSE for a panel dataset of 50 developing and developed countries over the period 1980-2000. Our results suggest that the relationship between PSE and democracy is positive and statistically significant, thus confirming our theoretical priors.
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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number
15843.
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Date of creation: 08 Mar 2009Date of revision:
Handle: RePEc:pra:mprapa:15843Contact details of provider: Postal: Schackstr. 4, D-80539 Munich, Germany Phone: +49-(0)89-2180-2219 Fax: +49-(0)89-2180-3900 Web page: http://mpra.ub.uni-muenchen.de More information through EDIRC
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Keywords: H11 ; D7 ; Other versions of this item:
Find related papers by JEL classification: D7 - Microeconomics - - Analysis of Collective Decision-Making H7 - Public Economics - - State and Local Government; Intergovernmental Relations
This paper has been announced in the following NEP Reports :
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