INFLUENCING THE PUBLIC AND EFFICIENCY IN BUREAUCRATIC PROVISION
In the present paper a public bureau can extract additional budgetary allocations, not only by misreporting its production cost to its oversight committee but also by 'influencing' the perceptions of the public at large. I juxtapose the bureau's ability to influence the public with its ability to misreport to the oversight committee, and find that influencing the public might support an efficient level of production by invoking a separating equilibrium. However, a pooling equilibrium involving either overproduction or underproduction of output cannot be ruled out. Accordingly, overproduction could occur even when the bureau cares only about extracting excess budget and not increasing output per se. Copyright 2009 The Author. Journal compilation 2009 Blackwell Publishing Asia Pty Ltd
In order to set up a list of libraries that you have access to,
you must first login
or sign up.
Then set up a personal list of libraries from your profile page by
clicking on your user name at the top right of any screen.