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Forms of governance and the size of rent-seeking

Social Choice and Welfare, ISSN: 0176-1714, Vol: 30, Issue: 2, Page: 197-210
2008
  • 4
    Citations
  • 0
    Usage
  • 15
    Captures
  • 0
    Mentions
  • 0
    Social Media
Metric Options:   Counts1 Year3 Year

Metrics Details

  • Citations
    4
    • Citation Indexes
      4
  • Captures
    15

Article Description

In this paper we present a model where agents can choose between productive and rent-seeking activities. We consider two governance institutions: autocracy and parliament rule. Under autocracy rent-seeking reflects the taste of the autocrat for such activities. Under parliament rule rent-seeking depends on parliament voting. We show that under parliament rule the size of rent-seeking may be larger than under autocracy. This cast doubts on the idea that "rigth" institutions necessarily promote good economic performance. We also show that rent-seekers may be interested in overthrowing autocracy. © 2007 Springer-Verlag.

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