“Moving umbrella”: Bureaucratic transfers and the comovement of interregional investments in China
This paper studies the pattern of interregional investment after bureaucratic transfers across Chinese cities. Using the administrative records of business registration, we find that the transfer of a local leader between prefecture cities is associated with about 3% increase in interregional invest...
| Autores principales: | , , , |
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| Formato: | Journal Article |
| Lenguaje: | Inglés |
| Publicado: |
Elsevier
2021
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| Materias: | |
| Acceso en línea: | https://hdl.handle.net/10568/142683 |
| _version_ | 1855525667248013312 |
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| author | Shi, Xiangyu Xi, Tianyang Zhang, Xiaobo Zhang, Yifan |
| author_browse | Shi, Xiangyu Xi, Tianyang Zhang, Xiaobo Zhang, Yifan |
| author_facet | Shi, Xiangyu Xi, Tianyang Zhang, Xiaobo Zhang, Yifan |
| author_sort | Shi, Xiangyu |
| collection | Repository of Agricultural Research Outputs (CGSpace) |
| description | This paper studies the pattern of interregional investment after bureaucratic transfers across Chinese cities. Using the administrative records of business registration, we find that the transfer of a local leader between prefecture cities is associated with about 3% increase in interregional investment along the direction of transfer. The comoving firms purchase larger parcels of land and at lower prices. They also exhibit a higher likelihood of exiting when the patrons leave the office. Comoving interregional investment does not increase the probability of promotion for transferred leaders, yet expose them to a higher risk of anticorruption prosecution. The findings highlight the importance of personal connection between firms and bureaucrats in shaping the pattern of interregional investment. |
| format | Journal Article |
| id | CGSpace142683 |
| institution | CGIAR Consortium |
| language | Inglés |
| publishDate | 2021 |
| publishDateRange | 2021 |
| publishDateSort | 2021 |
| publisher | Elsevier |
| publisherStr | Elsevier |
| record_format | dspace |
| spelling | CGSpace1426832025-02-24T06:47:15Z “Moving umbrella”: Bureaucratic transfers and the comovement of interregional investments in China Shi, Xiangyu Xi, Tianyang Zhang, Xiaobo Zhang, Yifan investment capacity development land ownership bureaucracy This paper studies the pattern of interregional investment after bureaucratic transfers across Chinese cities. Using the administrative records of business registration, we find that the transfer of a local leader between prefecture cities is associated with about 3% increase in interregional investment along the direction of transfer. The comoving firms purchase larger parcels of land and at lower prices. They also exhibit a higher likelihood of exiting when the patrons leave the office. Comoving interregional investment does not increase the probability of promotion for transferred leaders, yet expose them to a higher risk of anticorruption prosecution. The findings highlight the importance of personal connection between firms and bureaucrats in shaping the pattern of interregional investment. 2021-11-01 2024-05-22T12:10:52Z 2024-05-22T12:10:52Z Journal Article https://hdl.handle.net/10568/142683 en https://doi.org/10.1257/jep.31.1.49 https://doi.org/10.1093/wber/lhm002 https://doi.org/10.3386/w22854 https://doi.org/10.4337/9781782543565.00013 Open Access Elsevier Shi, Xiangyu; Xi, Tianyang; Zhang, Xiaobo; and Zhang, Yifan. 2021. “Moving umbrella”: Bureaucratic transfers and the comovement of interregional investments in China. Journal of Development Economics 153(November 2021): 102717. https://doi.org/10.1016/j.jdeveco.2021.102717 |
| spellingShingle | investment capacity development land ownership bureaucracy Shi, Xiangyu Xi, Tianyang Zhang, Xiaobo Zhang, Yifan “Moving umbrella”: Bureaucratic transfers and the comovement of interregional investments in China |
| title | “Moving umbrella”: Bureaucratic transfers and the comovement of interregional investments in China |
| title_full | “Moving umbrella”: Bureaucratic transfers and the comovement of interregional investments in China |
| title_fullStr | “Moving umbrella”: Bureaucratic transfers and the comovement of interregional investments in China |
| title_full_unstemmed | “Moving umbrella”: Bureaucratic transfers and the comovement of interregional investments in China |
| title_short | “Moving umbrella”: Bureaucratic transfers and the comovement of interregional investments in China |
| title_sort | moving umbrella bureaucratic transfers and the comovement of interregional investments in china |
| topic | investment capacity development land ownership bureaucracy |
| url | https://hdl.handle.net/10568/142683 |
| work_keys_str_mv | AT shixiangyu movingumbrellabureaucratictransfersandthecomovementofinterregionalinvestmentsinchina AT xitianyang movingumbrellabureaucratictransfersandthecomovementofinterregionalinvestmentsinchina AT zhangxiaobo movingumbrellabureaucratictransfersandthecomovementofinterregionalinvestmentsinchina AT zhangyifan movingumbrellabureaucratictransfersandthecomovementofinterregionalinvestmentsinchina |