Local favoritism in China's public procurement: Information frictions or incentive distortion?

被引：0

作者：

Tang, Wei ^{[1
]}

Wang, Yuan ^{[2
]}

Wu, Jiameng ^{[1
]}

机构：

[1] Shanghai Univ Finance & Econ, Sch Publ Econ & Adm, 777 Guoding Rd, Shanghai 200433, Peoples R China

[2] East China Normal Univ, Sch Econ & Management, Shanghai 200062, Peoples R China

来源：

JOURNAL OF URBAN ECONOMICS | 2025年 / 145卷

基金：

中国国家自然科学基金;

关键词：

Public procurement; local favoritism; bureaucratic discretion; information frictions; incentive distortion; INCREMENTAL REFORM; PROTECTIONISM; CORRUPTION; CONNECTIONS; COMPETITION; BIAS;

D O I：

10.1016/j.jue.2024.103716

中图分类号：

F [经济];

学科分类号：

02 ;

摘要：

This paper aims to disentangle the roles of information frictions and career incentives of local officials in the allocation of government contracts. Drawing on a unique dataset including both winning and losing bidders of public procurement auctions in China, we document a strong local bias in the contract allocation. These patterns are hardly reconciled with explanations rooted in information frictions or corruption. Instead, we highlight the role of local leaders' career incentives, presenting evidence that local favoritism is more pronounced in localities with more incentivized mayors. Our findings prompt a reconsideration of the effectiveness of bureaucratic discretion in allocating public resources. (JEL H57, H77, H72, D73, R51)

引用

页数：15

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