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Varieties of Governance of Public Goods Delivery in Indonesia:The Case of Roads after Decentralization and Local Democratization

Author

Listed:
  • Ari Kuncoro

    () (Institute of Economic and Social Research, Faculty of Economics, University of Indonesia)

  • Vid Adrison

    (Institute of Economic and Social Research, Faculty of Economics, University of Indonesia)

  • Ifa Isfandiarni

    (Institute of Economic and Social Research, Faculty of Economics, University of Indonesia)

Abstract

For Indonesia the fall of Suharto in 1998 brought dramatic changes in the political landscape. It signified the beginning of transformation from an authoritarian regime towards a more democratic society where the distribution power is more devolved. In this respect Indonesia follow what is called a big-bang approach in the transition. First in the agenda of socio-economic reform is decentralization which changes the relationship between the center and local governments. Next in the country’s reform was democratization at the local government level. In this paper we examine how decentralization and democratization affect governance at the local government level. Our particular interest is to assess the impact of decentralization and local democratization on the quality of road. We find that although the temptation to produce lower quality roads is high the combination of democratization, free media, an ad-hoc anti-corruption agency and well educated bureaucrats keep the quality of roads reasonably good while the corruption is held in check.

Suggested Citation

  • Ari Kuncoro & Vid Adrison & Ifa Isfandiarni, 2013. "Varieties of Governance of Public Goods Delivery in Indonesia:The Case of Roads after Decentralization and Local Democratization," Working Papers in Economics and Business 201301, Faculty of Economics and Business, University of Indonesia, revised Jan 2013.
  • Handle: RePEc:lpe:wpecbs:201301
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    File URL: http://econ.feb.ui.ac.id/uploads/201301.pdf
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    References listed on IDEAS

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    1. Miroslav N. Jovanović, 2006. "The Economics of International Integration," Books, Edward Elgar Publishing, number 3750, April.
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    Cited by:

    1. Nasrudin, Rus'an, 2015. "Does Soft Corruption Make Grease or Sand for Development? Evidence from Road's Special Allocation Fund for Indonesian Districts," MPRA Paper 80578, University Library of Munich, Germany, revised 08 Aug 2017.

    More about this item

    Keywords

    Governance; Decentralization; Democratization; Infrastructure Provision;

    JEL classification:

    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • H73 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Interjurisdictional Differentials and Their Effects
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

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