Decision Making and Ability: An Explanation of Elitism in China's Government

摘要

This article tries to explain elitism in China's governmental decision making. Our model shows that the governments' expected utility increases with a bureaucrat's ability to make decisions under the flexible framework of delegation and communication (with separated reporting strategy). In the early of 1950s, China's government choose a flexible decision making framework in order to efficiently manage many affairs in a complex environment. This initial choice started the process of a self-reinforcing demand for ability inside of the flexible decision making framework. With the current reforms of streamlining administrations and retreating from the market, the elitism of China's government might reverse.