Determinants of government size: evidence from China

被引：0
|
作者：
Alfred M. Wu
Mi Lin
机构：
[1] City University of Hong Kong,Department of Public and Social Administration
[2] City University of Hong Kong,Department of Economics and Finance
来源：
Public Choice | 2012年 / 151卷
关键词：
Government size; Wagner’s law; Scale effects; Openness to trade; Fiscal decentralization; H11; H61;
D O I：
暂无
中图分类号：
学科分类号：
摘要：
This paper investigates the determinants of government size at the provincial level in China. We employ the panel data model as a platform for empirical analysis and control for endogeneity in the study. Our study shows that openness to trade and foreign direct investment (FDI) may curtail government expansion, and that the provincial-level public sector is characterized by economies of scale. This study also documents that Wagner’s law does not hold true for China. Moreover, both expenditure decentralization and revenue decentralization contribute to the expansion of China’s government.
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页码：255 / 270
页数：15
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