Developing a test of economic theories of bureaucracy through the use of an experimental approach.

摘要

Economic theories of bureaucracy do not lend themselves well to traditional methods of empirical analysis. In particular, evaluating the preferences of the bureaucrat is difficult when studying budget allocations. Yet preferences are important to these theories.;The purpose of this thesis is to develop and test a method revealing preferences and testing them against theories of bureaucracy. Applying game theory and theories of experimental economics, a 'Budget Game' is constructed and applied through a survey experiment. The results will provide data to test the theories. Subjects will be drawn from a public transportation agency. The results will determine the effectiveness of using this method in surveying other agencies.;The approach of the thesis is as follows: First, a model of a public agency is developed to discuss the various nonproductive expenditures and how preferences relate to expenditures. Next, three theories of bureaucracy from Economics, Sociology, and Political Science are discussed and analyzed from an economic perspective. In particular, these theories will clarify the preferences of bureaucrats, developing a common framework for comparison. Then principles of game theory are applied to developing the game form necessary to design and execute the experiment. This stage will establish the theoretical validity and allow an examination of the similarities and differences in the theories discussed. Finally, an experiment based on the 'Budget Game' will be developed and executed to test the model and the theories of bureaucracy.;The use of laboratory experiments in economics has grown considerably in recent years. Tests of supply and demand, public choice, and other aspects of economic theory have yielded insights into behavior and provided less 'noisy' data. It is hoped that among the outcomes of this research will be a better method of understanding the nature of bureaucracy and a contribution to an improved understanding of both the benefits and limitations of experimental analysis in economics.