Research On Rent-Seeking Behavior Of Local Government In Our Country

The rent seeking theory was first demonstrated in the west world and can date back to 1960s. Rent seeking is the activity of seeking rent, the basic implication of which is, in the market-oriented economic system, intervention by government on economic may make people or interest group get benefit from seeking government's privileges. Presently, China is at the critical stage of economic reform, and local government rent seeking activities exist widely owning to the widespread local government's intervention in economic.China is transforming from the traditional planned economics to the present market economics. During the transformation period, the gradual social economic reform has averted the drastic turmoil in society; while stimulated more space for the corrupt activities for local government rent seeking, especially in the sectors interfered by the government. The behavior of local government rent-seeking is a non-productive one of the economic gambling, leading to the waste of social resources, repression of fair competitions, refusal of system, and resistance of social civilization. Therefore, it is of both theoretical and practical significance to analyze the problem of local government rent seeking and to probe into the methodology of supervising and controlling the behavior of rent seeking.Local government rent seeking in our country current is different from that in the developed country, such as the background and manifestation is all widely divergent, therefore using the west rent seeking theory to explain our activities is inappropriate. Applying to the reality in Chinese transformation period, this paper analyzes the reasons and the form of expression of rent seeking behavior preliminary. The paper introduces the background of the transformation period, and analyzes the phenomena of local government rent seeking and corruption of rent seeking through analyzing of rent seeking in land management, then put forward the reason of local government rent seeking is the loss of institutional arrangement. We must constitute overall institutional arrangement for controlling the behavior of local government rent seeking and corruption of rent seeking.