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Measurement, Evolution, Determinants, And Consequences Of State Capacity: A Review Of Recent Research

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  • Antonio Savoia
  • Kunal Sen

Abstract

There is increasing realization that state capacity is a fundamental ingredient for effective governance, and is a crucial element of long-run economic development. This paper offers an overview of the strengths and limitations in current empirical research on the measurement of state capacity. The paper also surveys the fast emerging literature on the determinants and effects of state capacity. We argue that existing measures on governance quality used in cross-national research can be usefully exploited to capture different aspects of state capacity, and show that post the end of the Cold War, developing economies have experienced improvements in legal, administrative and bureaucratic capacity, but the gap with advanced economies is still wide. Future research should address the short temporal coverage of available measures of state capacity, as well as providing a systematic quantitative assessment of the determinants of capacity and of its effects on development outcomes, such as health and education, which have not received sufficient scrutiny.

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  • Antonio Savoia & Kunal Sen, 2015. "Measurement, Evolution, Determinants, And Consequences Of State Capacity: A Review Of Recent Research," Journal of Economic Surveys, Wiley Blackwell, vol. 29(3), pages 441-458, July.
  • Handle: RePEc:bla:jecsur:v:29:y:2015:i:3:p:441-458
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    1. repec:eee:wdevel:v:105:y:2018:i:c:p:70-82 is not listed on IDEAS
    2. repec:eee:ecmode:v:76:y:2019:i:c:p:243-259 is not listed on IDEAS
    3. Roberto Ricciuti & Antonio Savoia & Kunal Sen, 2018. "What determines administrative capacity in developing countries?," WIDER Working Paper Series 013, World Institute for Development Economic Research (UNU-WIDER).
    4. Bernhard Reinsberg & Alexander Kentikelenis & Thomas Stubbs & Lawrence King & Centre for Business Research, 2018. "The World System & the Hollowing-out of State Capacity: How Structural Adjustment Programs Impact Bureaucratic Quality in Developing Countries," Working Papers wp503, Centre for Business Research, University of Cambridge.
    5. Bruszt, Laszlo & Campos, Nauro F, 2018. "Economic Integration and State Capacity: Evidence from the Eastern Enlargement of the European Union," IZA Discussion Papers 11782, Institute for the Study of Labor (IZA).
    6. László Bruszt & Nauro F. Campos, 2017. "State Capacity and Economic Integration: Evidence from the Eastern Enlargement," RSCAS Working Papers 2017/52, European University Institute.
    7. Francesco Angelini & Guido Candela & Massimiliano Castellani, 2018. "Governance and efficiency with and without Government," Working Paper series 18-18, Rimini Centre for Economic Analysis.

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