Electoral Control under Decentralization: Decentralization as unbundling of public goods provision
This paper addresses the question of whether a decentralized government is subject to a stronger level of electoral control than a centralized government. When electoral control is strong an incumbent investing a low level of effort in providing public goods will face a serious threat of being voted out of office. This threat should provide the incentives to the incumbent to exert effort in order to be re-elected as shown by Barro (1973) and Ferejohn (1986). According to the literature decentralization should increase electoral control due to the fact that under centralization the incumbent only needs to please the half plus one of the electorate in order to be re-elected. This paper presents analytically two new sources of differences in electoral control: assuming that public goods can be classified in lower tier public goods (e.g. sub-national or local level) and upper tier public goods (e.g. national public goods), then under centralization there are potential advantages derived from bundling the provision of both types of public goods, whereas under decentralization there are potential advantages derived from a clear delimitation of the responsibilities of the provider of each type of public good. We show that the trade-off depends on the probability distribution of the shocks and on the size of these shocks.
|Date of creation:||2010|
|Contact details of provider:|| Web page: http://www.ael.ethz.ch/|
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Hindriks, Jean & Lockwood, Ben, 2009.
"Decentralization and electoral accountability: Incentives, separation and voter welfare,"
European Journal of Political Economy,
Elsevier, vol. 25(3), pages 385-397, September.
- Jean Hindriks & Ben Lockwood, 2005. "Decentralization and Electoral Accountability: Incentives, Separation, and Voter Welfare," Working Papers 2006-02, University of Kentucky, Institute for Federalism and Intergovernmental Relations.
- HINDRIKS, Jean & LOCKWOOD, Ben, 2005. "Decentralization and electoral accountability: incentives, separation, and voter welfare," CORE Discussion Papers 2005046, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Jean Hindriks & Benjamin Lockwood, 2005. "Decentralization and Electoral Accountability: Incentives, Separation, and Voter Welfare," CESifo Working Paper Series 1509, CESifo Group Munich.
- Jean, HINDRIKS & Ben, Lockwood, 2005. "Decentralization and Electoral Accountability : Incentives, Separation and Vote Welfare," Discussion Papers (ECON - Département des Sciences Economiques) 2005038, Université catholique de Louvain, Département des Sciences Economiques, revised 15 Mar 2005.
- Hendriks, Jean & Lockwood, Ben, 2005. "Decentralization and Electoral Accountability : Incentives, Separation, and Voter Welfare," The Warwick Economics Research Paper Series (TWERPS) 729, University of Warwick, Department of Economics.
- Hindricks, Jean & Lockwood, Ben, 2005. "Decentralization and Electoral Accountability: Incentives, Separation and Voter Welfare," CEPR Discussion Papers 5125, C.E.P.R. Discussion Papers.
- Banks, Jeffrey S. & Sundaram, Rangarajan K., 1998. "Optimal Retention in Agency Problems," Journal of Economic Theory, Elsevier, vol. 82(2), pages 293-323, October.
- Kessing, Sebastian G., 2010. "Federalism and accountability with distorted election choices," Journal of Urban Economics, Elsevier, vol. 67(2), pages 239-247, March.
- Sebastian Kessing, 2009. "Federalism and Accountability with Distorted Election Choices," CESifo Working Paper Series 2789, CESifo Group Munich.
- Sebastian G. Kessing, 2009. "Federalism and Accountability with Distorted Election Choices," Volkswirtschaftliche Diskussionsbeiträge 130-09, Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht.
- Kenneth Rogoff & Anne Sibert, 1988. "Elections and Macroeconomic Policy Cycles," Review of Economic Studies, Oxford University Press, vol. 55(1), pages 1-16.
- Kenneth Rogoff & Anne Sibert, 1986. "Elections and Macroeconomic Policy Cycles," NBER Working Papers 1838, National Bureau of Economic Research, Inc.
- Panizza, Ugo, 1999. "On the determinants of fiscal centralization: Theory and evidence," Journal of Public Economics, Elsevier, vol. 74(1), pages 97-139, October.
- Seabright, Paul, 1996. "Accountability and decentralisation in government: An incomplete contracts model," European Economic Review, Elsevier, vol. 40(1), pages 61-89, January.
- Seabright, Paul, 1994. "Accountability and Decentralization in Government: An Incomplete Contracts Model," CEPR Discussion Papers 889, C.E.P.R. Discussion Papers.
When requesting a correction, please mention this item's handle: RePEc:zbw:gdec10:37. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (ZBW - German National Library of Economics)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.