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The bureaucracy trap

Author

Listed:
  • Andina-Díaz, Ascensión
  • Feri, Francesco
  • Meléndez-Jiménez, Miguel A.

Abstract

We study the incentives of political parties to institute reforms that improve bureaucratic quality and increase the ability of governments to implement policy change. We consider a context of dynamic elections where current rigidities do not permit large changes in policies. We show that reforms in which a sufficient share of benefits are experienced late in time will never be implemented if parties are patient enough.

Suggested Citation

  • Andina-Díaz, Ascensión & Feri, Francesco & Meléndez-Jiménez, Miguel A., 2023. "The bureaucracy trap," Economics Letters, Elsevier, vol. 228(C).
    • Handle: RePEc:eee:ecolet:v:228:y:2023:i:c:s016517652300191x
    DOI: 10.1016/j.econlet.2023.111166
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    Other versions of this item:

    • Ascensión Andina-Díaz & Francesco Feri & Miguel A. Meléndez-Jiménez, 2022. "The Bureaucracy Trap," Working Papers 2022-03, Universidad de Málaga, Department of Economic Theory, Málaga Economic Theory Research Center.

    References listed on IDEAS

    as
    1. Philippe Aghion & Yann Algan & Pierre Cahuc & Andrei Shleifer, 2010. "Regulation and Distrust," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 125(3), pages 1015-1049.
    2. Edward L. Glaeser & Andrei Shleifer, 2003. "The Rise of the Regulatory State," Journal of Economic Literature, American Economic Association, vol. 41(2), pages 401-425, June.
    3. Abhijit V. Banerjee, 1997. "A Theory of Misgovernance," The Quarterly Journal of Economics, Oxford University Press, vol. 112(4), pages 1289-1332.
    4. Gabriele Gratton & Luigi Guiso & Claudio Michelacci & Massimo Morelli, 2021. "From Weber to Kafka: Political Instability and the Overproduction of Laws," American Economic Review, American Economic Association, vol. 111(9), pages 2964-3003, September.
    5. Paolo Pinotti, 2012. "Trust, Regulation and Market Failures," The Review of Economics and Statistics, MIT Press, vol. 94(3), pages 650-658, August.
    6. Andina-Díaz, Ascensión & Feri, Francesco & Meléndez-Jiménez, Miguel A., 2021. "Institutional flexibility, political alternation, and middle-of-the-road policies," Journal of Public Economics, Elsevier, vol. 204(C).
    7. repec:hal:spmain:info:hdl:2441/4km7l02j139aj8hl7kcccmqk9s is not listed on IDEAS
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    More about this item

    Keywords

    Political alternation; Institutional reform; Bureaucracy trap;
    All these keywords.

    JEL classification:

    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior

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