While it is widely agreed that local governments played a critical role in infrastructure building and industrial development in China – as key factors in its “economic miracle” - the relationship between local government entrepreneurship and the development of specialized markets through...

This paper proposes to integrate disparate notions of governance capacity by adopting a resource-based view of capacity. Governance capacity can be defined as the set of organizational and systemic resources necessary to make sound policy choices and implement them effectively. Adopting this...

Proper roles for government and market in addressing policy problems may be assessed by considering the duality between market imperfections and government imperfections. The potential of government interventions or market mechanisms as core policy instruments can be eroded by fundamental...