Political Capture of Decentralization : Vote-Buying through Grants-Financed Local Jurisdictions

A recent trend in decentralization in several large and diverse countries is the creation of local jurisdictions below the regional level -- municipalities, towns, and villages -- whose spending is almost exclusively financed by grants from both regional and national governments. This paper argues that such grants-financed decentralization enables politicians to target benefits to pivotal voters and organized interest groups in exchange for political support. Decentralization, in this model, is subject to political capture, facilitating vote-buying, patronage, or pork-barrel projects, at the expense of effective provision of broad public goods. There is anecdotal evidence on local politics in several large countries that is consistent with this theory. The paper explores its implications for international development programs in support of decentralization.

Bibliographic Details

Main Author:	Khemani, Stuti
Language:	English
Published:	2010-06-01
Subjects:	AFFILIATES, ANTI-CORRUPTION, AUDITING, AUDITS, AUTHORITY, BENEFIT INCIDENCE, BUDGET CONSTRAINT, BUDGET CONSTRAINTS, CASH ASSISTANCE, CASH TRANSFERS, CENTRAL GOVERNMENT, CITIES, CITIZENS, CIVIL SOCIETY, COMMUNITY ORGANIZATION, COMMUNITY PARTICIPATION, COMMUNITY-DRIVEN DEVELOPMENT, COMPARATIVE PERSPECTIVE, CONGRESSMAN, CONSTITUENCIES, CONSTITUENCY, CONSTITUENTS, CONSTITUTION, CONSTITUTIONAL AMENDMENT, CONSTITUTIONS, DECENTRALIZATION, DECENTRALIZATION IN GOVERNMENT, DECENTRALIZATION REFORMS, DECISION-MAKING, DECREE, DEMOCRACIES, DEMOCRACY, DEMOCRATIZATION, DEVOLUTION, DISCLOSURE, DISCLOSURE OF INFORMATION, DISTRICT, DISTRICT MUNICIPALITIES, DISTRICTS, ECONOMIC ELITES, ECONOMIC GROWTH, ECONOMIC SHOCKS, ELECTION, ELECTORAL POLITICS, ELECTRICITY, EMPLOYMENT, EQUALIZATION, EXPENDITURE, EXPENDITURE RESPONSIBILITIES, FEDERATIONS, FISCAL CAPACITY, FISCAL CENTRALIZATION, FISCAL DECENTRALIZATION, FISCAL DISCIPLINE, FISCAL EQUALIZATION, FISCAL FEDERALISM, FISCAL PERFORMANCE, FISCAL POLICIES, FISCAL POLICY, GAMBLING, GERRYMANDERING, GOVERNMENT FINANCE, GOVERNMENT POLICY, GOVERNMENT STRATEGY, GOVERNMENT STRUCTURES, HEALTH SERVICES, INSTITUTIONAL MECHANISM, INSTITUTIONAL REFORM, INTERGOVERNMENTAL TRANSFERS, INTERNATIONAL DEVELOPMENT, LEGISLATIVE DECISION, LEGISLATOR, LEGISLATORS, LEGISLATURES, LEVEL OF TAXATION, LEVELS OF GOVERNMENT, LOCAL AUTONOMY, LOCAL BODIES, LOCAL ELECTIONS, LOCAL EXPENDITURES, LOCAL GOVERNMENT, LOCAL GOVERNMENT ACCOUNTABILITY, LOCAL GOVERNMENT AUTHORITIES, LOCAL GOVERNMENT EXPENDITURES, LOCAL GOVERNMENT REVENUES, LOCAL GOVERNMENT SPENDING, LOCAL GOVERNMENT STRUCTURES, LOCAL GOVERNMENTS, LOCAL PUBLIC GOODS, LOCAL PUBLIC SERVICES, LOCAL REVENUE, LOCAL SPENDING, MAYORS, MUNICIPAL GOVERNMENT, MUNICIPAL GOVERNMENT EXPENDITURES, MUNICIPAL GOVERNMENTS, MUNICIPAL REVENUES, MUNICIPALITIES, MUNICIPALITY, NATIONAL ELECTIONS, NATIONAL GOVERNMENTS, NATIONAL PARLIAMENT, NATIONALS, NET TAX BURDEN, PANCHAYATS, PARLIAMENT, POLICY CHOICES, POLICY ISSUES, POLICY OBJECTIVES, POLICY STUDIES, POLITICAL COMPETITION, POLITICAL DECENTRALIZATION, POLITICAL INSTITUTIONS, POLITICAL MOBILIZATION, POLITICAL PARTICIPATION, POLITICAL PARTIES, POLITICAL PARTY, POLITICIANS, PRIVATE GOODS, PROVINCE, PROVINCES, PROVINCIAL GOVERNORS, PUBLIC, PUBLIC ACTION, PUBLIC AGENCIES, PUBLIC AGENCY, PUBLIC ECONOMICS, PUBLIC EXPENDITURE, PUBLIC EXPENDITURE REVIEW, PUBLIC FINANCE, PUBLIC FINANCIAL MANAGEMENT, PUBLIC FUNDS, PUBLIC GOOD, PUBLIC HEALTH, PUBLIC INFRASTRUCTURE, PUBLIC INTEREST, PUBLIC INVESTMENT, PUBLIC OFFICIALS, PUBLIC PARTICIPATION, PUBLIC POLICIES, PUBLIC POLICY, PUBLIC RESOURCES, PUBLIC SERVICE, PUBLIC SERVICE DELIVERY, PUBLIC SPENDING, PUBLIC SPENDING PROGRAMS, REDISTRIBUTION, REPRESENTATIVE DEMOCRACY, RESOURCE ALLOCATION, REVENUE ASSIGNMENTS, REVENUE-RAISING POTENTIAL, REVENUE-RAISING POWER, REVOLUTION, ROADS, SOCIAL CAPITAL, SOCIAL COST, SOCIAL NETWORKS, STATE GOVERNMENT, STATE GOVERNMENTS, STRUCTURE OF GOVERNANCE, SUBNATIONAL, SUBNATIONAL FINANCE, SUFFRAGE, TAX, TAX BASES, TAX COLLECTION, TAX DECENTRALIZATION, TAX EVASION, TAX RATE, TAX RATES, TAX REVENUE, TAX REVENUES, TAX SYSTEM, TECHNICAL ASSISTANCE, TOWNS, USER CHARGES, UTILITIES, VILLAGE, VILLAGE GOVERNMENTS, VILLAGES, VOTING, WAGES,
Online Access:	http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20100624164225 https://hdl.handle.net/10986/3835
Tags:	Add Tag No Tags, Be the first to tag this record!