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Based on basic organizational theories, this paper revisits studies about intergovernmental relationships in China and proposes a systematic explanation framework from the perspective of the allocation mechanism of authority and accountability. The institutional feature of government organization is unfolded from two dimensions, authority and accountability. In China, the authority and accountability of different hierarchies are strongly related but not clearly defined. Theories such as “Federalism, Chinese Style” are the basis for different conditions. The trade-off between control and incentive, specification, and coordination should be given more consideration with optimal analyses. As the main accountability practicing mechanism, Cadre management from upper-layer hierarchies greatly affects the allocation mechanism between different hierarchies. However, the tournament theory about promotion lacks vision, empirical bases, and explanation power. This paper studies the project system from an organizational perspective and indicates that the subcontracting form differs from regional decentralization, which accentuates interdepartmental competition and expansion.

The allocation mechanism of authority and accountability in Chinese government hierarchies: A case study of the “Earmarked Project System”