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A Typology of Perception to Regulatory Tiering through Latent Class Analysis: the Case of SMEs

  • Journal of Regulation Studies
  • 2017, 26(1), pp.81-109
  • Publisher : 한국규제학회
  • Research Area : Social Science > Public Administration

Jina Bak 1 Hwang hui young 1

1고려대학교

Accredited

ABSTRACT

In order to prevent a cycle of economic downturns, reforming the regulation of small and medium enterprises (SMEs) is more important than ever. To this end, regulatory tiering policy that relieves the regulatory burden of SMEs has received increased scholarly attention. In this study, we aimed to create a typology of the perceptions of SMEs regarding the burden of regulatory costs and the need for regulatory tiering. We further sought directions for regulatory tiering policy by observing various characteristics of enterprises for each type. We employed latent class analysis (LCA) to classify types of perception to regulatory tiering by utilizing data from a survey for developing a manual of regulatory tiering conducted by the Korea Institute of Public Administration in 2012. Empirical results revealed that SMEs’ perceptions of regulatory tiering can be classified into three types: a high-demand group for regulatory tiering, a reference group, and a low-demand group. Ordered logistic regression and cross-tabulation analysis was used to examine various characteristics of SMEs by types. Through this empirical analysis, we explored the demand for regulatory tiering from the perspective of SMEs, and suggested information fundamental to discussions of regulatory tiering policy.

Citation status

* References for papers published after 2023 are currently being built.