Cash Transfers Increase Trust in Local Government

How does a locally-managed conditional cash transfer program impact trust in government? On the one hand, delivering monetary benefits and increasing interactions with government officials (elected and appointed) may increase trust. On the other ha...

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Main Authors: Evans, David K., Holtemeyer, Brian, Kosec, Katrina
Format: Working Paper
Language:English
Published: World Bank, Washington, DC 2018
Subjects:
Online Access:http://documents.worldbank.org/curated/en/655591518448688065/Cash-transfers-increase-trust-in-local-government
http://hdl.handle.net/10986/29367
id okr-10986-29367
recordtype oai_dc
spelling okr-10986-293672021-06-14T10:10:21Z Cash Transfers Increase Trust in Local Government Evans, David K. Holtemeyer, Brian Kosec, Katrina CONDITIONAL CASH TRANSFERS SERVICE DELIVERY DECENTRALIZATION INFORMATION COMMUNITY PARTICIPATION TRUST GOVERNANCE LOCAL GOVERNMENT How does a locally-managed conditional cash transfer program impact trust in government? On the one hand, delivering monetary benefits and increasing interactions with government officials (elected and appointed) may increase trust. On the other hand, imposing paternalistic conditions, leading some to experience feelings of social stigma or guilt, and potentially permitting capture by local elites could reduce trust. This paper answers this question by exploiting the randomized introduction of a locally-managed transfer program in Tanzania in 2010, which included popular election of community management committees to run the program. The analysis reveals that cash transfers can significantly increase trust in leaders. This effect is driven by large increases in trust in elected leaders as opposed to appointed bureaucrats. Perceptions of government responsiveness to citizens' concerns and honesty of leaders also rise; these improvements are largest where there are more village meetings at baseline. One of the central roles of village meetings is to receive and share information with village residents. One indicator that governance may have improved is that records from school and health committees are more readily available in treatment villages. Notably, while the stated willingness of citizens to participate in community development projects rises, actual participation in projects and the likelihood of voting does not. Concerns that local management of a cash transfer program will destroy trust in government or reduce the quality of governance appear unfounded—especially in high-information contexts. 2018-02-16T21:14:10Z 2018-02-16T21:14:10Z 2018-02 Working Paper http://documents.worldbank.org/curated/en/655591518448688065/Cash-transfers-increase-trust-in-local-government http://hdl.handle.net/10986/29367 English Policy Research Working Paper;No. 8333 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Africa Tanzania
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic CONDITIONAL CASH TRANSFERS
SERVICE DELIVERY
DECENTRALIZATION
INFORMATION
COMMUNITY PARTICIPATION
TRUST
GOVERNANCE
LOCAL GOVERNMENT
spellingShingle CONDITIONAL CASH TRANSFERS
SERVICE DELIVERY
DECENTRALIZATION
INFORMATION
COMMUNITY PARTICIPATION
TRUST
GOVERNANCE
LOCAL GOVERNMENT
Evans, David K.
Holtemeyer, Brian
Kosec, Katrina
Cash Transfers Increase Trust in Local Government
geographic_facet Africa
Tanzania
relation Policy Research Working Paper;No. 8333
description How does a locally-managed conditional cash transfer program impact trust in government? On the one hand, delivering monetary benefits and increasing interactions with government officials (elected and appointed) may increase trust. On the other hand, imposing paternalistic conditions, leading some to experience feelings of social stigma or guilt, and potentially permitting capture by local elites could reduce trust. This paper answers this question by exploiting the randomized introduction of a locally-managed transfer program in Tanzania in 2010, which included popular election of community management committees to run the program. The analysis reveals that cash transfers can significantly increase trust in leaders. This effect is driven by large increases in trust in elected leaders as opposed to appointed bureaucrats. Perceptions of government responsiveness to citizens' concerns and honesty of leaders also rise; these improvements are largest where there are more village meetings at baseline. One of the central roles of village meetings is to receive and share information with village residents. One indicator that governance may have improved is that records from school and health committees are more readily available in treatment villages. Notably, while the stated willingness of citizens to participate in community development projects rises, actual participation in projects and the likelihood of voting does not. Concerns that local management of a cash transfer program will destroy trust in government or reduce the quality of governance appear unfounded—especially in high-information contexts.
format Working Paper
author Evans, David K.
Holtemeyer, Brian
Kosec, Katrina
author_facet Evans, David K.
Holtemeyer, Brian
Kosec, Katrina
author_sort Evans, David K.
title Cash Transfers Increase Trust in Local Government
title_short Cash Transfers Increase Trust in Local Government
title_full Cash Transfers Increase Trust in Local Government
title_fullStr Cash Transfers Increase Trust in Local Government
title_full_unstemmed Cash Transfers Increase Trust in Local Government
title_sort cash transfers increase trust in local government
publisher World Bank, Washington, DC
publishDate 2018
url http://documents.worldbank.org/curated/en/655591518448688065/Cash-transfers-increase-trust-in-local-government
http://hdl.handle.net/10986/29367
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