Governance from below: a theory of local government with two empirical tests.
Political economy and public policy papers,
STICERD, London School of Economics and Political Science, London, UK.
I examine decentralization through the lens of the local dynamics that it unleashes. The national effects of decentralization are simply the sum of its local-level effects. Hence to understand decentralization we must first understand how local government works. This paper proposes a theory of local government as the confluence of two quasi-markets and one organizational dynamic. Good government results when these three elements - political, economic and civil - are in rough balance, and actors in one cannot distort the others. Specific types of imbalance map into specific forms of government failure. I use comparative analysis to test the theory's predictions with qualitative and quantitative evidence from Bolivia. The combined methodology provides a higher-order empirical rigor than either approach can alone. The theory proves robust.
||Published 2005 © Jean-Paul Faguet
||Local government, civil society, democratic theory, good governance, decentralization, Q2 (Q-squared), Bolivia.
|Library of Congress subject classification:
||J Political Science > JC Political theory
J Political Science > JS Local government Municipal government
|Journal of Economic Literature Classification System:
||D - Microeconomics > D7 - Analysis of Collective Decision-Making > D71 - Social Choice; Clubs; Committees; Associations
H - Public Economics > H4 - Publicly Provided Goods > H41 - Public Goods
H - Public Economics > H4 - Publicly Provided Goods > H42 - Publicly Provided Private Goods
H - Public Economics > H7 - State and Local Government; Intergovernmental Relations > H72 - State and Local Budget and Expenditures
O - Economic Development, Technological Change, and Growth > O1 - Economic Development > O18 - Regional, Urban, and Rural Analyses
||Research centres and groups > Suntory and Toyota International Centres for Economics and Related Disciplines (STICERD)
Departments > International Development
||17 Nov 2005
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