The purpose of this study is to search for a tendency of social security expenditure of a local government since a introduction of a local autonomy system in Korea, especially to test whether a introduction of a local councils and a selection of chief...
The purpose of this study is to search for a tendency of social security expenditure of a local government since a introduction of a local autonomy system in Korea, especially to test whether a introduction of a local councils and a selection of chiefs of a local government has an effect on a social security expenditure.
For the empirical analysis, focusing on 4 cities and 17 counties in Jeonnam Province, a data set which consists of a social security expenditure in absolute value, a share of social securities to general accounting and a social security expenditure per a person between 1885 year and 2004 year has been collected. A statistical method such as a descriptive analysis and t-test and ANOVA has been applied on the data set.
According to the analysis, we can reach several important conclusions as follows.
1. In spite of IMF economic crisis, a social security expenditure in absolute value and a social security expenditure per a person has been increased. We found that a social security expenditure in absolute value for cities has more rapidly increased than counties. Meanwhile, a social security expenditure per a person of counties has increased with more rapid speed than cities.
2. The increase rates of a social security expenditure in absolute value, a social security expenditure per a person and a share of social security expenditure to a general accounting of both cities and counties moved with very similar pattern as time goes. The variation of the increase rates is relatively large at the early stage of the research period but has been reduced to very stable state at the later which strongly suggest that the bureaucracy has been strengthened as the local government system has ripened.
3. The introduction of local council has significantly increased a social security expenditure in absolute value but has no effect on a social security expenditure per a person. Meanwhile, a share of social security expenditure to a general accounting has significantly been decreased since a construction of local council.
4. The selection of a chief of local government has resulted in statistically significant increase in a social security expenditure in absolute value and a social security expenditure per a person but we find no evidence of the significant increase of a share of social security expenditure to a general accounting.