Changing Incentives of the Chinese Bureaucracy

David D. Li

No 130, William Davidson Institute Working Papers Series from William Davidson Institute at the University of Michigan

Abstract: It has been increasingly recognized that the Chinese goverm-nent's newly acquired enthusiasm for economic development is a major factor explaining the relative success of China's transition from socialism. This paper argues that the changed behavior of the Chinese government is an outcome of a series of reforms of the bureaucracy. The bureaucracy was transformed from inside through a massive mandatory retirement program and a drive for administrative/fiscal decentralization. It was also changed from outside since many bureaucrats can quit government positions and join businesses. China's unique approach to reform bureaucracy without explicit political liberalization is predetermined by its initial conditions of transition.

Keywords: reform of the bureaucracy; bereaucratic behvior; government in transition (search for similar items in EconPapers)
JEL-codes: H10 H70 P16 P26 P30 P51 P52 (search for similar items in EconPapers)
Pages: pages
Date: 1998-01-01
New Economics Papers: this item is included in nep-lab, nep-pbe and nep-sea
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Persistent link: https://EconPapers.repec.org/RePEc:wdi:papers:1998-130

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