A view from behavioral political economy on China's institutional change
نویسندگان
چکیده
Article history: Received 23 February 2011 Received in revised form 25 April 2012 Accepted 3 May 2012 Available online 12 May 2012 A behavioral political economy framework is built on the basis of prospect theory to explain the induced and imposed institutional changes during China's market reform, giving special attention to the integrated effects of economic and political institutions. According to prospect theory, how rulers frame their decisions — in the prospects of gains or losses, influences how much risk they will take. China's market reform has been largely framed in the prospects of economic gains, for which the continuously growing private sector is the driving force. China's central government adopts a growth-oriented incremental reform that coincides with the prediction of prospect theory. © 2012 Elsevier Inc. All rights reserved. JEL classifications: D03 D70 O43 P26
منابع مشابه
The Adoption of E-Business by Organizations in China: An Institutional Perspective
The Chinese e-business industry has a number of unusual features. Institutional factors such as strong nationalism, the state's entrenchment in the economy, political cognitive and political normative factors, regulative uncertainty, the role of professional associations, and the importance of business and social networks are deeply reflected in China's e-business development pattern. We argue ...
متن کاملChina's Grain Trade Policy and Its Domestic Grain Economy
The paper examines the relationship between China's grain trade and domestic grain economy through an institutional perspective. It reveals that China's grain imports have been primarily necessitated by filling the physical gap between domestic grain demand and supply. Due to the special institutional background under which the domestic grain economy segmented into two relatively independent pa...
متن کاملComplementarity and institutional change in capitalist systems
The concept of institutional complementarity – that the co-existence of two or more institutions enhances the functioning of each – is frequently used to explain why institutions are resistant to change and why introducing new institutions into a system often fails to achieve the intended objective. This paper utilizes examples from comparative political economy to delineate the concept and add...
متن کاملComplementarity and institutional change: How useful a concept?
The concept of institutional complementarity – i.e. the idea that the coexistence of two or more institutions enhances the functioning of each – is increasingly used to explain why institutions are resistant to change and why introducing new institutions into a system often leads to unintended consequences or failure to achieve the intended objective. While the concept is appealing and intuitiv...
متن کاملHydropower and sustainability: resilience and vulnerability in China's powersheds.
Large dams represent a whole complex of social, economic and ecological processes, perhaps more than any other large infrastructure project. Today, countries with rapidly developing economies are constructing new dams to provide energy and flood control to growing populations in riparian and distant urban communities. If the system is lacking institutional capacity to absorb these physical and ...
متن کامل