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


  • Dilek Demirbas



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 ).

Suggested Citation

  • Dilek Demirbas, 1999. "Rent-Seeking in Developed and Developing Countries: Cross Section and Time Series Studies," Discussion Papers in Economics 99/2, Department of Economics, University of Leicester.
  • Handle: RePEc:lec:leecon:99/2

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

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