Political Accountability, Fiscal Conditions and Local Government Performance : Cross-Sectional Evidence from Indonesia

Why are some local governments more successful than others in managing resources and delivering services? And even more vitally, how can malfunctioning governments be reformed so that they perform their responsibilities more effectively? This article contributes to our understanding of theses overar...

Full description

Bibliographic Details
Main Author: Eckardt, S.
Format: Journal Article
Language:EN
Published: 2012
Online Access:http://hdl.handle.net/10986/5220
id okr-10986-5220
recordtype oai_dc
spelling okr-10986-52202021-04-23T14:02:21Z Political Accountability, Fiscal Conditions and Local Government Performance : Cross-Sectional Evidence from Indonesia Eckardt, S. Why are some local governments more successful than others in managing resources and delivering services? And even more vitally, how can malfunctioning governments be reformed so that they perform their responsibilities more effectively? This article contributes to our understanding of theses overarching questions by exploring the interactions between political institutions and public sector performance in the context of decentralisation and local governance. It shows-both theoretically and empirically-that performance outcomes are determined by the extent to which people can hold their governments accountable through political institutions. The basic hypothesis underlying this research is that political accountability, either by encouraging sanctions upon non-compliant public agents or simply by reducing the informational gap regarding government activities, will create forceful incentives for elected officials and civil servants to reduce opportunistic behaviour and improve performance. Using a cross-sectional regression the hypothesis is empirically tested against evidence from newly empowered local governments in Indonesia. The empirical findings broadly support our hypotheses. Improved public services on the ground, both in terms of quantity and quality, require informed and well functioning decision-making processes that allocate resources to priority areas that meet the demand of the broader community. Copyright (c) 2008 John Wiley & Sons, Ltd. 2012-03-30T07:31:51Z 2012-03-30T07:31:51Z 2008 Journal Article Public Administration and Development 0271-2075 http://hdl.handle.net/10986/5220 EN http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Journal Article Indonesia
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language EN
geographic_facet Indonesia
relation http://creativecommons.org/licenses/by-nc-nd/3.0/igo
description Why are some local governments more successful than others in managing resources and delivering services? And even more vitally, how can malfunctioning governments be reformed so that they perform their responsibilities more effectively? This article contributes to our understanding of theses overarching questions by exploring the interactions between political institutions and public sector performance in the context of decentralisation and local governance. It shows-both theoretically and empirically-that performance outcomes are determined by the extent to which people can hold their governments accountable through political institutions. The basic hypothesis underlying this research is that political accountability, either by encouraging sanctions upon non-compliant public agents or simply by reducing the informational gap regarding government activities, will create forceful incentives for elected officials and civil servants to reduce opportunistic behaviour and improve performance. Using a cross-sectional regression the hypothesis is empirically tested against evidence from newly empowered local governments in Indonesia. The empirical findings broadly support our hypotheses. Improved public services on the ground, both in terms of quantity and quality, require informed and well functioning decision-making processes that allocate resources to priority areas that meet the demand of the broader community. Copyright (c) 2008 John Wiley & Sons, Ltd.
format Journal Article
author Eckardt, S.
spellingShingle Eckardt, S.
Political Accountability, Fiscal Conditions and Local Government Performance : Cross-Sectional Evidence from Indonesia
author_facet Eckardt, S.
author_sort Eckardt, S.
title Political Accountability, Fiscal Conditions and Local Government Performance : Cross-Sectional Evidence from Indonesia
title_short Political Accountability, Fiscal Conditions and Local Government Performance : Cross-Sectional Evidence from Indonesia
title_full Political Accountability, Fiscal Conditions and Local Government Performance : Cross-Sectional Evidence from Indonesia
title_fullStr Political Accountability, Fiscal Conditions and Local Government Performance : Cross-Sectional Evidence from Indonesia
title_full_unstemmed Political Accountability, Fiscal Conditions and Local Government Performance : Cross-Sectional Evidence from Indonesia
title_sort political accountability, fiscal conditions and local government performance : cross-sectional evidence from indonesia
publishDate 2012
url http://hdl.handle.net/10986/5220
_version_ 1764394348951109632