Public Investment Choices by Local and Central Governments

This paper examines the impacts of devolving authority for public resource allocation to local governments in a setting of limited electoral control. Such a setting differs from that assumed by seminal formal models of devolution, but describes many developing countries. This study presents a formal...

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Main Authors: Kosec, Katrina, Mogues, Tewodaj
Format: Journal Article
Published: Published by Oxford University Press on behalf of the World Bank 2021
Subjects:
Online Access:http://hdl.handle.net/10986/36147
id okr-10986-36147
recordtype oai_dc
spelling okr-10986-361472021-08-18T05:10:30Z Public Investment Choices by Local and Central Governments Kosec, Katrina Mogues, Tewodaj PUBLIC INVESTMENT MANAGEMENT LOCAL GOVERNANCE WATER SUPPLY REGRESSION DISCONTINUITY DRINKING WATER AGRICULTURE This paper examines the impacts of devolving authority for public resource allocation to local governments in a setting of limited electoral control. Such a setting differs from that assumed by seminal formal models of devolution, but describes many developing countries. This study presents a formal model of this setting and tests it using unique data from a natural experiment in rural Ethiopia whereby half of the country's regions were decentralized but not the other half. Employing a spatial regression discontinuity design, this article shows that decentralization strongly improved delivery of agricultural public services, which are of high priority to the central government. In contrast, it did not impact drinking water services, on which the central government places lower priority but citizens place high priority. 2021-08-17T15:06:00Z 2021-08-17T15:06:00Z 2020-02 Journal Article World Bank Economic Review 1564-698X http://hdl.handle.net/10986/36147 CC BY-NC-ND 3.0 IGO http://creativecommons.org/licenses/by-nc-nd/3.0/igo World Bank Published by Oxford University Press on behalf of the World Bank Publications & Research Publications & Research :: Journal Article Africa Africa Eastern and Southern (AFE) Ethiopia
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
topic PUBLIC INVESTMENT MANAGEMENT
LOCAL GOVERNANCE
WATER SUPPLY
REGRESSION DISCONTINUITY
DRINKING WATER
AGRICULTURE
spellingShingle PUBLIC INVESTMENT MANAGEMENT
LOCAL GOVERNANCE
WATER SUPPLY
REGRESSION DISCONTINUITY
DRINKING WATER
AGRICULTURE
Kosec, Katrina
Mogues, Tewodaj
Public Investment Choices by Local and Central Governments
geographic_facet Africa
Africa Eastern and Southern (AFE)
Ethiopia
description This paper examines the impacts of devolving authority for public resource allocation to local governments in a setting of limited electoral control. Such a setting differs from that assumed by seminal formal models of devolution, but describes many developing countries. This study presents a formal model of this setting and tests it using unique data from a natural experiment in rural Ethiopia whereby half of the country's regions were decentralized but not the other half. Employing a spatial regression discontinuity design, this article shows that decentralization strongly improved delivery of agricultural public services, which are of high priority to the central government. In contrast, it did not impact drinking water services, on which the central government places lower priority but citizens place high priority.
format Journal Article
author Kosec, Katrina
Mogues, Tewodaj
author_facet Kosec, Katrina
Mogues, Tewodaj
author_sort Kosec, Katrina
title Public Investment Choices by Local and Central Governments
title_short Public Investment Choices by Local and Central Governments
title_full Public Investment Choices by Local and Central Governments
title_fullStr Public Investment Choices by Local and Central Governments
title_full_unstemmed Public Investment Choices by Local and Central Governments
title_sort public investment choices by local and central governments
publisher Published by Oxford University Press on behalf of the World Bank
publishDate 2021
url http://hdl.handle.net/10986/36147
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