Rent-seeking perspective the dangers of public power

Abstract seeking public power is not only impede the development of production, but also produced a series of social problems. How to control public power rent-seeking caused by these hazards, and promote the healthy development of productive forces and the maintenance of social order has become a current social concern hot and difficult, this only from the perspective of public management analysis.

Keywords: power of rent-seeking; hazards

To some extent, the power of government rent-seeking activities on the allocation of scarce resources is the devastation, it was originally based on the scarce resources to create another kind of scarcity: scarcity of power.


First, the formation of interest groups and the continuation and expansion of rent-seeking

Buchanan will be divided into three levels of rent-seeking: �� those seeking to curry favor with the government to obtain the rent on bribery; �� seeking the speculation of those seeking to enjoy the special interests of government officials, will compete to attract competent manpower and resources Officials of the lucrative and competitive place the second level of rent-seeking; �� If some or all of the excess profits of those seeking the formation of revenue, then the interests of various social groups and may order the allocation of revenue to start the third level of rent-seeking activities . Therefore, in this three level, once the government action to create a manufactured scarcity of rent-seeking can generate. It's divided into three levels based on the power of rent-seeking also apply. The level of rent-seeking activities of a chain reaction and long-term effect, will form links with each other vested interests of various groups, these interest groups to protect their own interests, and constantly seeking to expand the scope of rent-seeking society to form self-growth mechanism or expansion mechanism. a lot of controls that exist in the national economy phenomenon does not use "market failure" theory to explain, but the government can control interest groups to explain the demand. And to expand the scope of control will lead to greater rights and seeking a deeper level, so creating a vicious circle. vested the formation of interest groups and the allocation process at the expense based on the interests of the majority. vested interests will not only growing trend, and will strongly reject the new rent-seeking to enter, trying to monopoly rents, making it difficult dissipation of rent out. Because, for the vested interests, it is the result of the formation of long-term rent-seeking, there is a huge sunk costs, it does not want to see someone with whom to share the rent. and, in the long-term rent-seeking process, it will form a kind of rent-seeking "path dependence", or even consciously or unconsciously, the resistance against the abuse of power reforms.


Second, the power of rent-seeking social problems brought bad

(A) of the distorted incentives of social
As mentioned earlier, rent-seeking society will result in the influx of non-production areas of scarce resources, bringing the loss of allocative efficiency. To the Chinese examination system as an example. As everyone knows, China does not have the success of the science used to jump into the modern era of modern science, which The imperial examination system in China are not unrelated. From the formal point of view, imperial examination for the selection of officials as a way to blame. from a variety of materials, China's feudal system under the officer's status and income are difficult to hold a candle to other occupations. And Imperial has almost become the only way into the bureaucracy. imperial competition required to read the book, limited to classical Chinese philosophy and literature part of the examination method is rigid eight-legged essay. Therefore, the root of the problem was not due to China's system inhibited the intellectual creativity; the actual reason is that the incentive structure of Chinese imperial examination system to make intellectual mood in the sciences, in particular to do controlled experiments or mathematical assumptions about the nature of such things. Therefore, both not ethics, the unity of political ideology, nor is it the Chinese imperial examination system itself inhibited the genius of a scientific revolution was launched, the real effect of the obstacles is the curriculum and examinations of their incentive structure. reposted elsewhere in the Research Papers Download http : / / www.hi138.com (b) cause the gap between rich and poor, social inequality
Rent-seeking associated with public power is government corruption. Our country from a planned economy to a market economy in the process, power, differences in resource ownership acquired the ownership of wealth is greater than differences in labor resources and capital resources available to community ownership difference wealth. China's market economy is mainly driven by the government reform the traditional planned economy to grow up, the government's power to control the economy strong. in the traditional planned economy, the government intervention in the economy is a lot there, and penetrated into the all aspects of social and economic life, when such a system in transition, due to institutional inertia, the inertia of thinking, the existence of inertia model, government can not immediately withdraw from areas of economic activity, so there has been "invisible foot" and the "invisible hand" mixed state. and, in the beginning of the transition, there will be a general institutional vacuum, that the old system does not work, but the new system has not been fully established or difficult to play a role, the market is in disorder. Some government officials rely on the monopoly of force to grasp the power of intervention in economic activities and administrative process to prevent the supply increases, the formation of a human factors of production, the elasticity of supply shortage, resulting in non-productive power of individuals to obtain profits. China experienced a "dual track" price and state-owned enterprise reform in the use of emerging legal or illegal means to obtain the rent is so privileged to occupy.


References
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