SOCIAL CAPITAL,ECONOMIC DEVELOPMENT,AND THE QUALITY OF GOVERNMENT: HOW INTERACTION BETWEEN SOCIAL CAPITAL AND ECONOMIC DEVELOPMENT AFFECTS THE QUALITY OF GOVERNMENT

This study investigates the relationship between social capital and governmental quality by considering the relationship between social capital and economic development in a cross‐section of countries. It is shown that countries with both high levels of social capital and economic development exhibit higher quality of government as measured by government effectiveness, rule of law, impartiality, professionalism, and a governmental quality index. It is also shown that countries with both high levels of social capital and low levels of economic development are associated with higher governmental quality as measured by professionalism. These findings question the use of heterogeneous indicators for governmental quality and show that the relationship between social capital and the quality of government depends on the level of economic development. Thus, the importance of the level of economic development in explaining the variation in the quality of government sheds light on the social capital theories of governmental qualities.     

Fixed capital stock depreciation in developing countries: Some evidence from firm level data

Abstract

Previous growth accounting studies suggest severe capital underutilisation and mismeasurement of the stocks of capital in some developing countries. Using the firm level data sets from the World Bank surveys, this paper estimates the economic depreciation rates of fixed capital stocks in the manufacturing industries of seven developing countries. The findings indicate that the stocks of fixed capital may depreciate at higher rates in these countries, as compared with the normal rates usually assumed for advanced industrial countries. This study also discusses the economic and social forces that may influence the incentive to maintain capital appropriately and the implications of high depreciation for the total factor productivity (TFP) growth estimates and volatility of capital accumulation.     

Job Strenuousness and Obesity: The Case of a Developing Country

Abstract

This paper analyses the Indonesian Family Life Survey to show that job strenuousness is negatively related to obesity, which is largely consistent with the literature. However, this paper does not interpret the relationship as causal. Instead, efforts are made to demonstrate that the relationship is attributable to sample selection: workers with low socioeconomic status are lightweight and selected for strenuous jobs. This paper warns against reflexive applications of the conclusions derived from the developed world to the developing world. Our results imply that sedentariness at work probably plays a small role in the prevalence of obesity in the region.     

Political Competition and Local Social Spending: Evidence from Brazil

Electoral theories of democracy imply electoral competition insures accountability. Using data on local elections, socioeconomic factors, and municipal budgets from more than 5,000 municipalities in Brazil for the years 1996, 2000, and 2004, we find that municipalities with more competitive elections allocate less to social spending compared to municipalities with little political competition. We argue that previous theory on political competition and public goods obscures the critical role that financial resources play in shaping the dynamics of social spending and political competition. Municipalities with small budgets lack the resources necessary to engineer convincing electoral victories. Where resources are negligible, voter turnout is low, and incumbents rarely win reelection. Incumbent parties in municipalities with large financial resources win big. Armed with adequate resources, incumbent parties mobilize voters and win by large margins. This new argument and evidence reconcile contradictory findings in the existing literature on competition and public goods.     

Membership in voluntary organizations and democratic performance: European post-Communist countries in comparative perspective

The article challenges the hypothesis that there is cohabitation of civic engagement and democratic institutions and practices. While valid at a general level, the relationship is not confirmed once it is scrutinized thoroughly and heterogeneous categories are disaggregated. For the European post-Communist cases, the pattern of the relationship between the regime type and the propensity to associate closely resembles the one in Latin mature democracies and non-authoritarian countries, provided that voluntary associations are chosen as measurements of vitality of social capital and robustness of civil society. A possible consequence of this provocative finding would be re-evaluating the well-established concepts in social sciences.     

Social Capital: the politico-emancipatory potential of a disputed concept

Since the middle of the 1990s the concept of social capital has provoked rapidly growing interest. Social theorists, policy makers and those ngos working on the edge of theory and practice became fascinated with social capital. International organisations like the World Bank, undp and the oecd upgraded social capital to the ‘missing link’ in understanding (under)development. However, it did not take long before the critique cast shadows on this euphoria. Initially the critique was concerned with problems of defining and measuring social capital and its inadequate theoretical elaboration. In a later stage the critique accused social capital of forming part of the anti-politics machine of the post-Washington consensus. Social capital would reflect a point of view in which there was no room for an analysis of power inequality and struggle over access to resources. This article starts with an overview of the most important problems attached to the notion of social capital. The focus is then shifted to the contours of the global political crisis, which acts as a frame of reference for an attempt to reassess the politico-emancipatory potential of social capital.     

Locating the Global South in the Theorisation of the Cold War: capitalist development,social revolution and geopolitical conflict

In this article I seek to outline an alternative way of theorising the place of the ‘South’ in the understanding of the Cold War. In contrast to mainstream theories of the Cold War within International Relations that suggest a rather subordinate or background role, separate from the primary causal dynamic of the Cold War—the bilateral superpower antagonism—I put forward an argument that places the South at the centre of the Cold War. I do this by defining the Cold War as a form of global social conflict between states and social forces associated with the rival social systems of capitalism and communism. Through this I argue that the superpowers should be understood as states with specific socioeconomic properties and contradictions, reflecting forms of politics not confined to themselves alone. Consequently, the Cold War should be seen as a form of globalised social conflict between the expanding and uneven nature of capitalism and the communist revolutionary challenges to it carried through by revolutionary movements in the South. The Cold War, then, was as much about the revolutionary consequences of uneven capitalist development as it was about the bipolar relationship.     

Does intermunicipal cooperation increase efficiency? A conditional metafrontier approach for the Hessian wastewater sector

ABSTRACT

This paper analyses the relationship between intermunicipal cooperation and efficiency of public service provision. Organisational arrangements of public service production, including self-provision, joint provision or contracting, affect incentives and internal transaction costs. Hence, cooperation gains from scale effects need to be balanced against technical inefficiencies. We analyse relative efficiency of wastewater disposal for German municipalities. We employ a conditional analysis in conjunction with a metafrontier approach to calculate relative efficiency measures and technology gap ratios controlling for organisational arrangements and further environmental variables. Jointly providing municipalities and contractor municipalities exhibit lower technical efficiency than self-providing and contracting municipalities. As confirmed by previous research, scale effects from cooperation and contracting apply to small municipalities primarily.     

Social Capital and Institutional Trust: Evidence from Bolivia's Popular Participation Decentralisation Reforms

This article uses Bolivia's emblematic process of decentralisation (Popular Participation) to explore the elusive relationship between interpersonal and institutional trust, as central components of social capital. The evidence corroborates the notion that basic social interaction and more complex institutional settings are strongly co-related, such as the trust that individuals place in their governments and institutions. The data also shows that social capital has a direct effect on civic activism and political behaviour at the individual level. The notion of social capital is present throughout the analysis as this type of capital allows observing and measuring changes in social structures that affect more complex institutional arrangements.     

THE PUBLIC MANAGEMENT CHALLENGES OF CONTRACTING WITH NONPROFITS for SOCIAL SERVICES

ABSTRACT

States and municipalities increasingly pursue privatization as a way to deliver public goods and services because of two expected outcomes, reduced costs and quality improvements. Several reasons are frequently cited for these anticipated benefits ranging from market competition to increased management flexibility and discretion to fewer rules and regulations. One policy area in which government has privatized many services through contracting with nonprofit organizations is social services. Contracted services are as diverse as providing shelters for the homeless, vocational education and job retraining, domestic violence services, refugee esettlement, child and elder abuse services, and food banks. A proliferation of public administration and nonprofit organizational scholarship has examined a range of issues associated with the government-nonprofit social service contracting relationship, not the least of which are topics related to management, measurement, and accountability. This article examines the public management challenges and implications of contracting with nonprofit organizations for the delivery of social services.     

Antecedents of Psychological Empowerment: A Study of Greek Employees in Municipalities

ABSTRACT

Psychological empowerment has received a burgeoning attention among scholars and practitioners in the last decades. However, little is known about its antecedents in the public sector, and even more in municipalities. The present study attempts to fill this gap by examining the relationship of leader-member exchange (LMX), role conflict and role ambiguity with employees’ psychological empowerment. Data were collected from 210 administrative employees of nine Greek municipalities. Results supported our hypotheses that these three factors constitute important antecedents of such employees’ psychological empowerment. Theoretical and practical implications were also discussed.     

From Competition to Collaboration: Intergovernmental Economic Development Policy Networks

This study investigates the strategic collaboration among local jurisdictions in the competitive environment: how fragmented jurisdictions in a metropolitan area perceive each other as cooperative partners and what factors influence the establishment of collaborative relationships between them. To answer the research questions, we applied the Institutional Collective Action (ICA) framework, which assumes that institutional actors behave in ways such that their economic benefits are maximised and risks and costs of collaboration are minimised, and employed the exponential random graph (ERG) model, one of the statistical social network analyses. The results indicate that the physical, political and geographical similarities among municipalities positively influence collaboration among local jurisdictions. In addition, municipalities are more likely to prefer to establish the closed network relationship such as triad–triplet. This study allows to understand the mechanism to establish collaborative behaviour among local jurisdictions for their regional economic development in a metropolitan area.     

Social Capital and Access to Credit: Evidence from Uganda

We use a nationally representative survey in Uganda to study the links between social capital and financial access. Our results indicate a positive association between individual social capital and access to institutional credit, but no significant relationship between generalised trust and credit access. The effect of individual social capital is more pronounced for poorer people, in rural areas, and in areas where generalised trust is low. Individual social capital seems to promote access especially to semiformal and informal financial institutions.     

Russian Nonprofits as Contracted Providers of Municipal Social Services: Initial Experience

Abstract

In the Russian Federation the delivery of social services to deserving population groups is mostly the responsibility of municipalities and other local governments. Services are delivered by municipal agencies. One way to inject competition into the delivery system is for local government to hold competitions to contract for social service delivery. The competitions can be open to nonprofit organizations (NPOs), some of which have been providing assistance in recent years to needy individuals and families similar to those that would be contracted. This article reports the results of an assessment of pioneering pilot competitions for the delivery of social services in three municipalities in 2000–2001: Perm, Velikii Novgorod, and Tomsk. The objective of the pilots was to determine if the local governments could hire NPOs to be service providers following a rigorous and fair competitive process and whether the selected NPOs would do an adequate job in delivering services. In general the results of these competitions indicate the extent of the challenge to improving service delivery in Russia. It seems fair to say that the competitions in Perm and Tomsk were essentially a competitive grant process where the winners were more or less free to determine the services actually delivered. On the other hand, the Novgorod competition had much more in common with a contractual procurement of social services—the competition was nominally open to firms of all legal forms and the services were well-defined. In execution, the reality in Novgorod fell far short of this model.     

The impact of associational life on trust in local institutions: a comparison of 57 Swiss municipalities

In this paper, we evaluate the impact of associational life on individual political trust in 57 Swiss municipalities. Our hierarchical regression models show that individual political trust is not only affected by individual associational membership but also by the exchange between associations and local political authorities in a community. In other words, if political authorities and associations are linked at the community level, citizens will place more trust in their local institutions. Furthermore, we find clear evidence for the rainmaker hypothesis: our results show that the positive effect of a vibrant connection between associational life and local politics on political trust is not solely confined to the associational members themselves, but rather indicate that the structure of the local civic culture fosters political trust among members and non-members at the same time. However, the internal democratic processes of associations have no effect on individuals’ trust in local political institutions.     

Democracy without democratic values: A rejoinder to Welzel and Inglehart

In reply to Welzel and Inglehart in this issue, we deploy three lines of criticism. First, we argue that their newly invented construct “effective democracy” is conceptually and empirically flawed. Second, we show that their results are highly sensitive to model specification. Regardless of the time period, their supportive evidence vanishes if a more pertinent measure of democracy is used instead of measures based on the absence of corruption, if a broader index of socioeconomic modernization is controlled for, and if their compound index of emancipative values is replaced by its core component; liberty aspirations. Third, we find that emancipative values are not a coherent syndrome at the individual level within countries, rendering the causal mechanism linking these values to democracy through collective action unintelligible. We conclude that democratic values are not a robust determinant of democratization. Jan Teorell is associate professor of political science at Lund University. He has published on intra-party politics, social capital and political participation, and, together with Axel Hadenius, is now involved in a project on the determinants of democratization. Axel Hadenius is professor of political science at Lund University. He is the author ofDemocracy and Development (Cambridge: Cambridge University Press, 1992) andInstitutions and Democratic Citizenship (Oxford: Oxford University Press, 2001).     

Citizens’ Initiatives: How Local Governments Fill their Facilitative Role

In the context of drastic cutbacks many Dutch municipalities consider citizens’ initiatives (CIs) as an attractive alternative for municipal policies aimed at improving the livability and safety in neighbourhoods, simultaneously building responsible citizenship. In this paper we combine different theoretical perspectives to analyse the institutional settings in which CIs are being realised, and how municipalities try to facilitate such initiatives. Municipalities can do this by either trying to structure the relevant networks or by various forms of process management. This analysis sheds light on how municipalities use a variety of instruments to mobilise citizens to participate in CIs. In using such instruments they can influence various factors (like motivations, personal resources, social capital and expected responsiveness; cf. Lowndes et al.’s CLEAR model) that increase the likelihood of civic engagement.     

Measuring Quality of Life in Spanish Municipalities

Abstract

Measuring quality of life in municipalities entails two empirical challenges. First, collecting a set of relevant indicators that can be compared across the municipalities in the sample. Secondly, using an appropriate aggregating tool in order to construct a synthetic index. This paper measures quality of life for the largest 237 Spanish municipalities using Value Efficiency Analysis (VEA) to derive comparative scores by combining the information contained in 19 partial indicators. VEA is a refinement of DEA (Data Envelopment Analysis) that imposes some consistency in the weights of the indicators used to construct the aggregate index. The indicators cover aspects related to consumption, social services, housing, transport, environment, labour market, health, culture and leisure, education and security. The results show that the Northern and Central regions in Spain attain the highest levels of quality of life, while the Southern regions report low living conditions. Education is the variable that requires the largest improvement in low performing municipalities, followed by health and culture facilities, pollution and crime. Population density, growth and ageing seem to relate positively to quality of life.     

Tax Collection in Developing Countries – New Evidence on Semi-Autonomous Revenue Agencies (SARAs)

Abstract

Over the last two decades, semi-autonomous revenue agencies (SARAs) have become a key element of public administration reform. They are supposed to improve revenue mobilisation and stabilise state–taxpayer relations. But do SARAs really outperform conventional tax administrations? This article argues that they do. Presenting the results of a panel analysis of local tax collection in Peru between 1998 and 2011, it shows that municipalities with SARAs collect more revenue than those with conventional tax administrations. The results also indicate that local revenue is more stable in municipalities with SARAs, which is good for budget policy and planning.     

Realising the Public Person

In response to a crisis of representative democracy in many Western countries, (local) governments have introduced instruments to circumvent political parties in order to establish more direct links between citizens and governments. One of these instruments is rendering electoral systems more personal, that is by giving more weight to preferential voting. Preferential voting is important since it constitutes a major element of the personal vote and it determines whether parties or voters are the main decision-makers in designating representatives. We have investigated, in relation to the local elections in Flanders (Belgium), in what kind of municipalities voters are most likely to cast a preferential vote, whether the electoral reform granting voters more power has had an effect, and if it has had an effect, in what kind of municipalities. We have put forward five groups of explanatory variables: socio-demographic, political, social capital, geographic and ballot form variables. Our analysis shows that variables from each group correlate significantly with the percentage of preferential votes, with population density and electronic voting as most important variables. A comparison between the 1994 and 2006 elections often yields the reverse picture: characteristics of municipalities that have a positive effect on the percentage of preferential votes cast have a negative impact on the evolution of preferential voting and vice versa (electronic voting being an exception). This results in the only obvious effects of the electoral reform being seen in urban municipalities, because elsewhere local politics was already to a large extent personalised by politicians being locally known. We could conclude that in these rural municipalities the electoral reform was superfluous.