Public employment decline in developing countries in the 21st century: The role of globalization

Giray Gozgor, Mehmet Huseyin Bilgin, Klaus F. Zimmermann*

*Corresponding author for this work

Research output: Contribution to journalArticleAcademicpeer-review

4 Citations (Web of Science)


Does globalization increases or decreases the size of government ("compensation" versus "efficiency" hypothesis)? The debate is re-visited with innovative bureaucracy and globalization indicators using panel data for the unexplored period 2000-2016. Robust evidence suggests that global competition reduces public employment.
Original languageEnglish
Article number108608
Number of pages3
JournalEconomics Letters
Publication statusPublished - Nov 2019


  • Public employment
  • Economic globalization
  • Developing countries
  • Efficiency hypothesis
  • Compensation hypothesis
  • Panel data estimation

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