Clientelism in the Public Sector : Why Public Service Reforms May Not Succeed and What to Do About It

The World Development Report 2017 Governance and the Law (World Bank, 2017) highlights the intimate connection between the effectiveness of policy reforms and governance. The Report argues that power asymmetries play an important role in ensuring t...

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Main Authors: Bold, Tessa, Molina, Ezequiel, Safir, Abla
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2017
Subjects:
Online Access:http://documents.worldbank.org/curated/en/797771489498533549/Clientelism-in-the-public-sector-why-public-service-reforms-may-not-succeed-and-what-to-do-about-it
http://hdl.handle.net/10986/26257
id okr-10986-26257
recordtype oai_dc
spelling okr-10986-262572021-05-25T08:58:38Z Clientelism in the Public Sector : Why Public Service Reforms May Not Succeed and What to Do About It Bold, Tessa Molina, Ezequiel Safir, Abla public service reform clientelism governance policy reform power structures The World Development Report 2017 Governance and the Law (World Bank, 2017) highlights the intimate connection between the effectiveness of policy reforms and governance. The Report argues that power asymmetries play an important role in ensuring that policy reforms are credible and overcome collective action problems; with one particular manifestation being clientelism. Further, it notes that in order to expand the set of implementable policies, there is need to change the policy arena by: (a) changing incentives; (b) reshaping preferences; and (c) increasing the contestability of the decision-making process. In this background paper, The author focusses on how power structures affect incentives for policy reforms and ultimately outcomes in the context of public service delivery. Here, It have a particular power structure in mind, namely when public servants themselves hold power. In many developing countries (and beyond), public servants are not just the agents tasked with delivering services by the principal (the clients of the service, usually represented by politicians), they are also elites, in the sense that they can have direct influence on policy design and implementation. This has implications for the quality of public services: if the main purpose of the relationship between principal and agent is not to deliver quality public services, but rather to share rents accruing from public office, then service delivery outcomes are likely to be poor. Breaking such an equilibrium may be difficult and successful policy reform needs to take these kind of power constraints into consideration. In the first part make the case that public servants – aside from delivering services – may capture rents in a multitude of ways : through the allocation of jobs, through above market wages, and through low performance on the job, including with absenteeism or moonlighting. This research also suggests why public sector reform may be so difficult: if rent-sharing arises as part of a tacit agreement between politicians and public servants in which rents are transferred in exchange for political support, then any reform that tries to make public servants more accountable and reduce their rents will likely be seen as reneging on such an agreement and be met with opposition.In the second part of the paper, we review research that has focused on making public servants more accountable. This, mainly experimental literature, usually takes the political power constraints as given, and highlights the importance of information and the identity of those monitoring the public servant. We discuss to what extent such local reforms can be successful. 2017-03-15T14:48:41Z 2017-03-15T14:48:41Z 2017-01 Working Paper http://documents.worldbank.org/curated/en/797771489498533549/Clientelism-in-the-public-sector-why-public-service-reforms-may-not-succeed-and-what-to-do-about-it http://hdl.handle.net/10986/26257 English en_US World Development Report Background Paper; CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research :: Working Paper Publications & Research
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic public service reform
clientelism
governance
policy reform
power structures
spellingShingle public service reform
clientelism
governance
policy reform
power structures
Bold, Tessa
Molina, Ezequiel
Safir, Abla
Clientelism in the Public Sector : Why Public Service Reforms May Not Succeed and What to Do About It
relation World Development Report Background Paper;
description The World Development Report 2017 Governance and the Law (World Bank, 2017) highlights the intimate connection between the effectiveness of policy reforms and governance. The Report argues that power asymmetries play an important role in ensuring that policy reforms are credible and overcome collective action problems; with one particular manifestation being clientelism. Further, it notes that in order to expand the set of implementable policies, there is need to change the policy arena by: (a) changing incentives; (b) reshaping preferences; and (c) increasing the contestability of the decision-making process. In this background paper, The author focusses on how power structures affect incentives for policy reforms and ultimately outcomes in the context of public service delivery. Here, It have a particular power structure in mind, namely when public servants themselves hold power. In many developing countries (and beyond), public servants are not just the agents tasked with delivering services by the principal (the clients of the service, usually represented by politicians), they are also elites, in the sense that they can have direct influence on policy design and implementation. This has implications for the quality of public services: if the main purpose of the relationship between principal and agent is not to deliver quality public services, but rather to share rents accruing from public office, then service delivery outcomes are likely to be poor. Breaking such an equilibrium may be difficult and successful policy reform needs to take these kind of power constraints into consideration. In the first part make the case that public servants – aside from delivering services – may capture rents in a multitude of ways : through the allocation of jobs, through above market wages, and through low performance on the job, including with absenteeism or moonlighting. This research also suggests why public sector reform may be so difficult: if rent-sharing arises as part of a tacit agreement between politicians and public servants in which rents are transferred in exchange for political support, then any reform that tries to make public servants more accountable and reduce their rents will likely be seen as reneging on such an agreement and be met with opposition.In the second part of the paper, we review research that has focused on making public servants more accountable. This, mainly experimental literature, usually takes the political power constraints as given, and highlights the importance of information and the identity of those monitoring the public servant. We discuss to what extent such local reforms can be successful.
format Working Paper
author Bold, Tessa
Molina, Ezequiel
Safir, Abla
author_facet Bold, Tessa
Molina, Ezequiel
Safir, Abla
author_sort Bold, Tessa
title Clientelism in the Public Sector : Why Public Service Reforms May Not Succeed and What to Do About It
title_short Clientelism in the Public Sector : Why Public Service Reforms May Not Succeed and What to Do About It
title_full Clientelism in the Public Sector : Why Public Service Reforms May Not Succeed and What to Do About It
title_fullStr Clientelism in the Public Sector : Why Public Service Reforms May Not Succeed and What to Do About It
title_full_unstemmed Clientelism in the Public Sector : Why Public Service Reforms May Not Succeed and What to Do About It
title_sort clientelism in the public sector : why public service reforms may not succeed and what to do about it
publisher World Bank, Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/797771489498533549/Clientelism-in-the-public-sector-why-public-service-reforms-may-not-succeed-and-what-to-do-about-it
http://hdl.handle.net/10986/26257
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