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How close is your government to its people? Worldwide indicators on localization and decentralization

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  • Ivanyna, Maksym
  • Shah, Anwar

Abstract

This paper provides a unique data set on local governance. This dataset measures government decisionmaking at the local level, i.e. the level of government closest to the people. By contrast, the existing literature has focused on decisionmaking at the sub-national level. The data set covers 182 countries, and it captures institutional dimensions of political, fiscal and administrative autonomy enjoyed by local governments. These dimensions are then aggregated to develop a decentralization index and are then adjusted for heterogeneity to develop a government closeness index.

Suggested Citation

  • Ivanyna, Maksym & Shah, Anwar, 2014. "How close is your government to its people? Worldwide indicators on localization and decentralization," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy (IfW), vol. 8, pages 1-61.
  • Handle: RePEc:zbw:ifweej:20143
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    File URL: http://dx.doi.org/10.5018/economics-ejournal.ja.2014-3
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    File URL: https://www.econstor.eu/bitstream/10419/90640/1/776570447.pdf
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    References listed on IDEAS

    as
    1. Anwar Shah, 2006. "Local Governance in Developing Countries," World Bank Publications, The World Bank, number 7192, November.
    2. Fan, C. Simon & Lin, Chen & Treisman, Daniel, 2009. "Political decentralization and corruption: Evidence from around the world," Journal of Public Economics, Elsevier, vol. 93(1-2), pages 14-34, February.
    3. Anwar Shah, 2008. "Macro Federalism and Local Finance," World Bank Publications, The World Bank, number 6453, November.
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    Citations

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    Cited by:

    1. Goel, Rajeev K. & Mazhar, Ummad & Nelson, Michael A. & Ram, Rati, 2017. "Different forms of decentralization and their impact on government performance: Micro-level evidence from 113 countries," Economic Modelling, Elsevier, vol. 62(C), pages 171-183.
    2. Yener Altunbaş & John Thornton, 2017. "Why Do Countries Adopt Fiscal Rules?," Manchester School, University of Manchester, vol. 85(1), pages 65-87, January.
    3. Andreas P. Kyriacou & Oriol Roca Sagalés, 2018. "Decentralization and governance in Europe: Evidence from different expenditure components," Working Papers. Collection A: Public economics, governance and decentralization 1802, Universidade de Vigo, GEN - Governance and Economics research Network.
    4. John Kincaid & Richard L. Cole, 2016. "Citizen Evaluations of Federalism and the Importance of Trust in the Federation Government for Opinions on Regional Equity and Subordination in Four Countries," Publius: The Journal of Federalism, Oxford University Press, vol. 46(1), pages 51-76.
    5. repec:oup:publus:v:47:y:2017:i:1:p:27-48. is not listed on IDEAS
    6. Li, Pei & Lu, Yi & Wang, Jin, 2016. "Does flattening government improve economic performance? Evidence from China," Journal of Development Economics, Elsevier, vol. 123(C), pages 18-37.
    7. David Bartolini & Agnese Sacchi & Domenico Scalera & Alberto Zazzaro, 2018. "The closer the better? Institutional distance and information blurring in a political agency model," Mo.Fi.R. Working Papers 146, Money and Finance Research group (Mo.Fi.R.) - Univ. Politecnica Marche - Dept. Economic and Social Sciences.

    More about this item

    Keywords

    localization; decentralization; fiscal autonomy; political autonomy; administrative autonomy; government accountability; trust and mistrust in governments; responsive; accountable and fair governance;

    JEL classification:

    • H10 - Public Economics - - Structure and Scope of Government - - - General
    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • H83 - Public Economics - - Miscellaneous Issues - - - Public Administration
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General

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