IDEAS home Printed from https://ideas.repec.org/a/ibn/ijbmjn/v17y2023i4p17.html
   My bibliography  Save this article

Pressure Groups and Rent Capture: How Effective Are Public Employment Policies: The Case of Gabon

Author

Listed:
  • Jean Louis Nkoulou Nkoulou

Abstract

In developing countries, and more specifically in the franc zone economies, the weight of the public sector seems to be preponderant, both in a situation where the State is a direct actor in the face of pressure groups and in a situation where it is an arbitrator between pressure groups. From a theoretical model supported by an empirical verification, whose assumptions are based on the Gabonese economy, we wanted to know in what terms this problem arises in a rent economy in which the State has a strong hold on all economic and social levers. The lessons learned from the model indicate that the explanation for this state hegemony lies in a deliberate weakening of the bargaining power of pressure group leaders through the lever of corruption. It turns out that the impact of such a choice of public policies is still harmful to unemployment, economic growth and poverty. Moreover, the game between the State and the unions in Gabon generates unstable economic balances as long as the structural reforms of the Gabonese economy remain embryonic in an increasingly open world. All of which worsens the state of poverty in this small country, which is nevertheless endowed with potential wealth.

Suggested Citation

  • Jean Louis Nkoulou Nkoulou, 2023. "Pressure Groups and Rent Capture: How Effective Are Public Employment Policies: The Case of Gabon," International Journal of Business and Management, Canadian Center of Science and Education, vol. 17(4), pages 1-17, February.
  • Handle: RePEc:ibn:ijbmjn:v:17:y:2023:i:4:p:17
    as

    Download full text from publisher

    File URL: https://ccsenet.org/journal/index.php/ijbm/article/download/0/0/46858/50101
    Download Restriction: no

    File URL: https://ccsenet.org/journal/index.php/ijbm/article/view/0/46858
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Williamson, Oliver E, 1979. "Transaction-Cost Economics: The Governance of Contractural Relations," Journal of Law and Economics, University of Chicago Press, vol. 22(2), pages 233-261, October.
    2. Jean-Jacques Laffont & Jean Tirole, 1991. "The Politics of Government Decision-Making: A Theory of Regulatory Capture," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 106(4), pages 1089-1127.
    3. Drew Fudenberg & Jean Tirole, 1983. "Sequential Bargaining with Incomplete Information," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 50(2), pages 221-247.
    Full references (including those not matched with items on IDEAS)

    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. Moszoro, Marian W. & Spiller, Pablo T., 2014. "Third-Party Opportunism and the Theory of Public Contracts: Operationalization and Applications," MPRA Paper 101592, University Library of Munich, Germany.
    2. Aad Correlje & John Groenewegen & Jan Jaap Bouma, 2012. "The Regulated Firm in Liberalized Network Industries," Chapters, in: Michael Dietrich & Jackie Krafft (ed.), Handbook on the Economics and Theory of the Firm, chapter 37, Edward Elgar Publishing.
    3. Committee, Nobel Prize, 2014. "Market power and regulation (scientific background)," Nobel Prize in Economics documents 2014-2, Nobel Prize Committee.
    4. Jensen, Olivia & Wu, Xun, 2017. "The hybrid model for economic regulation of water utilities: Mission impossible?," Utilities Policy, Elsevier, vol. 48(C), pages 122-131.
    5. Han, Shaojie & Su, Jingqin & Lyu, Yibo & Liu, Qing, 2022. "How do business incubators govern incubation relationships with different new ventures?," Technovation, Elsevier, vol. 116(C).
    6. Mariani, Marcello M. & Fosso Wamba, Samuel, 2020. "Exploring how consumer goods companies innovate in the digital age: The role of big data analytics companies," Journal of Business Research, Elsevier, vol. 121(C), pages 338-352.
    7. Junyon Im & Sunny Sun, 2015. "Profits and outreach to the poor: The institutional logics of microfinance institutions," Asia Pacific Journal of Management, Springer, vol. 32(1), pages 95-117, March.
    8. Pietro Cunha Dolci & Antonio Carlos Gastaud Maçada, 2014. "Information technology investments and supply chain governance," RAC - Revista de Administração Contemporânea (Journal of Contemporary Administration), ANPAD - Associação Nacional de Pós-Graduação e Pesquisa em Administração, vol. 18(2), pages 217-235.
    9. Jonathan H. Reed, 2022. "Operational and strategic change during temporary turbulence: evidence from the COVID-19 pandemic," Operations Management Research, Springer, vol. 15(1), pages 589-608, June.
    10. Ariño, Africa & Reuer, Jeffrey J., 2004. "Alliance contractual design," IESE Research Papers D/572, IESE Business School.
    11. Peter G. Klein & Michael E. Sykuta, 2010. "Editors’ Introduction," Chapters, in: Peter G. Klein & Michael E. Sykuta (ed.), The Elgar Companion to Transaction Cost Economics, chapter 1, Edward Elgar Publishing.
    12. Hoontaek Seo & Sangho Yi & William McCumber, 2024. "Friendly Boards and the Cost of Debt," JRFM, MDPI, vol. 17(7), pages 1-17, July.
    13. Robert S. Gibbons & Manuel Grieder & Holger Herz & Christian Zehnder, 2019. "Building an Equilibrium: Rules Versus Principles in Relational Contracts," CESifo Working Paper Series 7871, CESifo.
    14. Stefano Ciliberti & Simone Del Sarto & Angelo Frascarelli & Giulia Pastorelli & Gaetano Martino, 2020. "Contracts to Govern the Transition towards Sustainable Production: Evidence from a Discrete Choice Analysis in the Durum Wheat Sector in Italy," Sustainability, MDPI, vol. 12(22), pages 1-14, November.
    15. Myint Moe Chit, 2018. "Political openness and the growth of small and medium enterprises: empirical evidence from transition economies," Empirical Economics, Springer, vol. 55(2), pages 781-804, September.
    16. Kimmich, Christian & Fischbacher, Urs, 2016. "Behavioral determinants of supply chain integration and coexistence," Journal of Forest Economics, Elsevier, vol. 25(C), pages 55-77.
    17. Buckley, Peter J. & Cross, Adam & De Mattos, Claudio, 2015. "The principle of congruity in the analysis of international business cooperation," International Business Review, Elsevier, vol. 24(6), pages 1048-1060.
    18. Nathan H. Miller, 2008. "Competition When Consumers Value Firm Scope," EAG Discussions Papers 200807, Department of Justice, Antitrust Division.
    19. Giovanni Gavetti & Constance E. Helfat & Luigi Marengo, 2017. "Searching, Shaping, and the Quest for Superior Performance," Strategy Science, INFORMS, vol. 2(3), pages 194-209, September.
    20. Hsuan-Yu Lin & Chih-Hai Yang, 2016. "Uncertainty, specific investment, and contract duration: evidence from the MLB player market," Empirical Economics, Springer, vol. 50(3), pages 1009-1028, May.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    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:ibn:ijbmjn:v:17:y:2023:i:4:p:17. 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: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    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.