Does Decentralization Increase Responsiveness to Local Needs? Evidence from Bolivia

Faguet, Jean-Paul

World Bank, Washington, DC

关键词: ACCOUNTABILITY;    ACCOUNTING;    ADMINISTRATIVE CAPABILITY;    ADMINISTRATIVE CAPACITY;    AGRICULTURE;   

DOI  :  10.1596/1813-9450-2516
RP-ID  :  WPS2516

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

Significant changes in public investmentpatterns - in both the sectoral uses of funds, and theirgeographic distribution - emerged after Bolivia devolvedsubstantial resources from central agencies, tomunicipalities in 1994. By far the most importantdeterminant of these changes are objective indicators ofsocial need (for example, education investment rises whereilliteracy is higher). Indicators of institutional capacity,and social organization are less important. Empirical testsusing a unique database show that investment changedsignificantly in education, agriculture, urban development,water management, water and sanitation, and possibly health.These results are robust, and insensitive to specification.As the smallest, poorest municipalities invested newlydevolved public funds in their highest priority projects,investment showed a strong, positive relationship with needin agriculture, and the social sectors. In sectors wheredecentralization did not bring about changes, the centralgovernment had invested little before a994, and the localgovernment continued to invest little afterward. Thesefindings are consistent with a model of public investment,in which local government's superior knowledge of localneeds, dominates the central government's technical,and organizational advantage in the provision of public services.