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Stakeholder scrutiny, urban bias, and the private provision of public goods

Chrun, Elizabeth, Berliner, Daniel ORCID: 0000-0002-0285-0215 and Prakash, Aseem (2018) Stakeholder scrutiny, urban bias, and the private provision of public goods. Business and Politics, 20 (2). pp. 273-300. ISSN 1369-5258

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Identification Number: 10.1017/bap.2017.33

Abstract

While many scholars have studied urban bias in public policy, the potential for bias in the private provision of public goods has received little attention. Private certification is a mechanism encouraging private provision of environmental public goods. We show that within countries, there are often wide disparities in certification rates between firms located in urban and non-urban areas. However, these disparities can be mitigated if there is a countervailing force: scrutiny of firms' practices by key stakeholders. We suggest that the presence of strong civil society, independent media, a functioning state regulatory apparatus, and multinational owners can ameliorate the urban bias in certification uptakes. We test this argument with global, firm-level data covering over 40,000 firms in ninety-three countries. Our analyses suggest that an urban bias is mitigated when stakeholders - both public and private - have the freedom and capacity to scrutinize firms' activities.

Item Type: Article
Official URL: https://www.cambridge.org/core/journals/business-a...
Additional Information: © 2017 V.K. Aggarwal and published under exclusive license to Cambridge University Press
Divisions: Government
Subjects: J Political Science > JS Local government Municipal government
G Geography. Anthropology. Recreation > GF Human ecology. Anthropogeography
H Social Sciences > HD Industries. Land use. Labor
Date Deposited: 16 Oct 2019 14:24
Last Modified: 20 Oct 2021 02:39
URI: http://eprints.lse.ac.uk/id/eprint/102129

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