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Targeting Public Spending in a New Democracy: Evidence from South Korea

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  • KWON, HYEOK YONG

Abstract

Empirical studies of electoral competition and public policy in new democracies have been relatively underdeveloped. This article investigates the election-policy outcome link in a ‘hard case’ setting: South Korea in 1988–97. Contrary to expectations derived from the bureaucratic insulation or fiscal co-ordination argument, this study suggests a systematic impact of electoral competition on levels and distributive patterns of public spending. The analysis finds that levels of government expenditure increased according to the electoral calendar. Also, national subsidies tended to be allocated to ‘swing’ provinces in which electoral contests are competitive. The results of the analysis clearly show that fiscal policies in democratizing Korea are to a significant extent determined by electoral politics.

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  • Kwon, Hyeok Yong, 2005. "Targeting Public Spending in a New Democracy: Evidence from South Korea," British Journal of Political Science, Cambridge University Press, vol. 35(2), pages 321-341, April.
    • Handle: RePEc:cup:bjposi:v:35:y:2005:i:02:p:321-341_00
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    Cited by:

    1. Israel Marques II & Eugenia Nazrullaeva & Andrei Yakovlev, 2016. "Substituting Distribution for Growth: The Political Logic of Intergovernmental Transfers in the Russian Federation," Economics and Politics, Wiley Blackwell, vol. 28(1), pages 23-54, March.
    2. Cinnirella, Francesco & Schueler, Ruth, 2018. "Nation building: The role of central spending in education," Explorations in Economic History, Elsevier, vol. 67(C), pages 18-39.
    3. Ulubasoglu, Mehmet Ali & Yaraşır-Tülümce, Sevinç, 2019. "Pork and Turkey: Distributive Politics in the Allocation of Public Investments into Turkish Electoral Districts 1987–2004," MPRA Paper 96842, University Library of Munich, Germany.
    4. Golden, M. & Picci, L., 2007. "Pork Barrel Politics in Postwar Italy, 1953–1994," Cambridge Working Papers in Economics 0767, Faculty of Economics, University of Cambridge.
    5. Maffioli, Elisa M., 2021. "The political economy of health epidemics: Evidence from the Ebola outbreak," Journal of Development Economics, Elsevier, vol. 151(C).
    6. Yasmin Lurusati & René Torenvlied, 2023. "Does local democratization improve societal outcomes? Effects of mayoral direct elections in Indonesia," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-13, December.
    7. Olofinbiyi, Tolulope & Mogues, Tewodaj, 2017. "Who Influences Government Spending in Agriculture? The Roles of Public Actors in Subnational Funding Allocation in Nigeria," Feed the Future Innovation Lab for Food Security Policy Research Papers 259572, Michigan State University, Department of Agricultural, Food, and Resource Economics, Feed the Future Innovation Lab for Food Security (FSP).
    8. O. Fiona Yap, 2010. "Strategic Government Spending in South Korea and Taiwan: Lessons for Emergent Democracies," Social Science Quarterly, Southwestern Social Science Association, vol. 91(3), pages 613-634, September.
    9. Yannis Psycharis & Stavroula Iliopoulou & Maria Zoi & Panagiotis Pantazis, 2021. "Beyond the socio‐economic use of fiscal transfers: The role of political factors in Greek intergovernmental grant allocations," Regional Science Policy & Practice, Wiley Blackwell, vol. 13(3), pages 982-1008, June.

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