IDEAS home Printed from https://ideas.repec.org/a/cmn/journl/y2014i1p1-20.html
   My bibliography  Save this article

Characteristics Of The Large Corporation-Based, Bureaucratic Model Among Oecd Countries – An Foi Model Analysis

Author

Listed:
  • Zoltán Bartha

    (University of Miskolc)

  • Andrea S. Gubik

    (University of Miskolc)

Abstract

Deciding on the development path of the economy has been a delicate question in economic policy, not least because of the trade-off effects which immediately worsen certain economic indicators as steps are taken to improve others. The aim of the paper is to present a framework that helps decide on such policy dilemmas. This framework is based on an analysis conducted among OECD countries with the FOI model (focusing on future, outside and inside potentials). Several development models can be deduced by this method, out of which only the large corporation-based, bureaucratic model is discussed in detail. The large corporation-based, bureaucratic model implies a development strategy focused on the creation of domestic safe havens. Based on country studies, it is concluded that well-performing safe havens require the active participation of the state. We find that, in countries adhering to this model, business competitiveness is sustained through intensive public support, and an active role taken by the government in education, research and development, in detecting and exploiting special market niches, and in encouraging sectorial cooperation.

Suggested Citation

  • Zoltán Bartha & Andrea S. Gubik, 2014. "Characteristics Of The Large Corporation-Based, Bureaucratic Model Among Oecd Countries – An Foi Model Analysis," DANUBE: Law and Economics Review, European Association Comenius - EACO, issue 1, pages 1-20, March.
    • Handle: RePEc:cmn:journl:y:2014:i:1:p:1-20
    as

    Download full text from publisher

    File URL: http://www.eaco.eu/wp-content/uploads/2015/04/bartha.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Romer, Paul M, 1986. "Increasing Returns and Long-run Growth," Journal of Political Economy, University of Chicago Press, vol. 94(5), pages 1002-1037, October.
    2. World Commission on Environment and Development,, 1987. "Our Common Future," OUP Catalogue, Oxford University Press, number 9780192820808.
    3. Robert J. Barro, 1998. "Determinants of Economic Growth: A Cross-Country Empirical Study," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262522543, December.
    4. Bartha, Zoltán & Sáfrányné Gubik, Andrea & Tóthné Szita, Klára, 2013. "Intézményi megoldások, fejlődési modellek [Institutional solutions, development models]," MPRA Paper 50901, University Library of Munich, Germany.
    5. Robert M. Solow, 1956. "A Contribution to the Theory of Economic Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 70(1), pages 65-94.
    6. G. Hodgson, 2007. "What Are Institutions?," Voprosy Ekonomiki, NP Voprosy Ekonomiki, issue 8.
    7. Oliver E. Williamson, 2000. "The New Institutional Economics: Taking Stock, Looking Ahead," Journal of Economic Literature, American Economic Association, vol. 38(3), pages 595-613, September.
    8. Ricardo, David, 1821. "On the Principles of Political Economy and Taxation," History of Economic Thought Books, McMaster University Archive for the History of Economic Thought, edition 3, number ricardo1821.
    9. Jernej Letnar Cernic, 2012. "Corporate Obligations under the Right to a Healthy Living Environment," DANUBE: Law and Economics Review, European Association Comenius - EACO, issue 3, pages 21-41, March.
    10. Krueger, Anne O, 1974. "The Political Economy of the Rent-Seeking Society," American Economic Review, American Economic Association, vol. 64(3), pages 291-303, June.
    11. Zuzana Machova & Igor Kotlan, 2013. "World Tax Index: New Methodology for OECD Countries, 2000-2010," DANUBE: Law and Economics Review, European Association Comenius - EACO, issue 2, pages 165-179, June.
    12. Jagdish Bhagwati, 1958. "Immiserizing Growth: A Geometrical Note," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 25(3), pages 201-205.
    13. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Klára Szita Tóthné, 2014. "Green Growth in the OECD: State of the Art," Theory Methodology Practice (TMP), Faculty of Economics, University of Miskolc, vol. 10(02), pages 59-65.
    2. Zoltán Bartha, 2022. "Same old story: Hungary's development over the 2000-2020 period," Theory Methodology Practice (TMP), Faculty of Economics, University of Miskolc, vol. 18(01), pages 37-43.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Bartha, Zoltán & S. Gubik, Andrea, 2014. "The Outward Focused Development Path in the Visegrad Countries," MPRA Paper 57213, University Library of Munich, Germany, revised 19 Jun 2014.
    2. Andrea S. Gubik & Zoltán Bartha, 2013. "Characteristics of the Dual Model among the OECD Countries," Theory Methodology Practice (TMP), Faculty of Economics, University of Miskolc, vol. 9(02), pages 3-14.
    3. Bartha, Zoltán & Sáfrányné Gubik, Andrea & Tóthné Szita, Klára, 2013. "Intézményi megoldások, fejlődési modellek [Institutional solutions, development models]," MPRA Paper 50901, University Library of Munich, Germany.
    4. Bartha, Zoltán & Sáfrányné Gubik, Andrea, 2012. "Future-, outside-, and inside-focused development paths," MPRA Paper 50900, University Library of Munich, Germany.
    5. Christos N. Pitelis, 2011. "Foreign Direct Investment and Economic Integration," Chapters, in: Miroslav N. Jovanović (ed.), International Handbook on the Economics of Integration, Volume III, chapter 1, Edward Elgar Publishing.
    6. Yasir Khan & Attiya Yasmin Javid, 2015. "The Impact of Formal and Informal Institutions on Economic Performance: A Cross-Country Analysis," PIDE-Working Papers 2015:130, Pakistan Institute of Development Economics.
    7. Argentino Pessoa & Mário Rui Silva, 2009. "Environment Based Innovation: Policy Questions," FEP Working Papers 308, Universidade do Porto, Faculdade de Economia do Porto.
    8. Kevin S. Nell & A.P. Thirlwall, 2017. "Why does the productivity of investment vary across countries?," PSL Quarterly Review, Economia civile, vol. 70(282), pages 213-245.
    9. Sushil Kumar Haldar, 2009. "Economic Growth in India Revisited," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 10(1), pages 105-126, January.
    10. Antonio Paradiso & Saten Kumar & B. Bhaskara Rao, 2013. "The growth effects of education in Australia," Applied Economics, Taylor & Francis Journals, vol. 45(27), pages 3843-3852, September.
    11. David Alan Aschauer, 1998. "Optimal Financing by Money and Taxes of Productive and Unproductive Government Spending: Effects on Economic Growth, Inflation, and Welfare," Macroeconomics 9808005, University Library of Munich, Germany, revised 01 Sep 1998.
    12. Aparicio, Sebastian & Urbano, David & Audretsch, David, 2016. "Institutional factors, opportunity entrepreneurship and economic growth: Panel data evidence," Technological Forecasting and Social Change, Elsevier, vol. 102(C), pages 45-61.
    13. Sefa Awaworyi Churchill & Mehmet Ugur & Siew Ling Yew, 2017. "Does Government Size Affect Per-Capita Income Growth? A Hierarchical Meta-Regression Analysis," The Economic Record, The Economic Society of Australia, vol. 93(300), pages 142-171, March.
    14. Achuo, Elvis & Nchofoung, Tii & Asongu, Simplice & Dinga, Gildas, 2021. "Unravelling the Mysteries of Underdevelopment in Africa," MPRA Paper 111556, University Library of Munich, Germany.
    15. Arne Bigsten & Jörgen Levin, 2001. "Growth, Income Distribution, and Poverty," WIDER Working Paper Series DP2001-129, World Institute for Development Economic Research (UNU-WIDER).
    16. Aysit Tansel & Ceyhan Ozturk & Erkan Erdil, 2021. "The Impact of Body Mass Index on Growth, Schooling, Productivity, and Savings: A Cross-Country Study," Koç University-TUSIAD Economic Research Forum Working Papers 2118, Koc University-TUSIAD Economic Research Forum.
    17. Richard Florida & Charlotta Mellander & Kevin Stolarick, 2008. "Inside the black box of regional development: human capital, the creative class and tolerance," Journal of Economic Geography, Oxford University Press, vol. 8(5), pages 615-649, September.
    18. Indra de Soysa & Jennifer Bailey & Eric Neumayer, 2004. "Free to Squander? Democracy, Institutional Design, and Economic Sustainability, 1975–2000," Macroeconomics 0412004, University Library of Munich, Germany.
    19. Igor Kotlán & Zuzana Machová, 2012. "Vliv zdanění korporací na ekonomický růst: selhání daňové kvóty? [The Influence of Corporate Taxation on Economic Growth: The Failure of Tax Quota?]," Politická ekonomie, Prague University of Economics and Business, vol. 2012(6), pages 743-763.
    20. Acemoglu, Daron & Johnson, Simon & Robinson, James A., 2005. "Institutions as a Fundamental Cause of Long-Run Growth," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 6, pages 385-472, Elsevier.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cmn:journl:y:2014:i:1:p:1-20. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Helena Campbelle (email available below). General contact details of provider: http://www.eaco.eu .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.