Can decision transparency increase citizen trust in regulatory agencies? Evidence from a representative survey experiment

Decision transparency is often proposed as a way to maintain or even increase citizen trust, yet this assumption is still untested in the context of regulatory agencies. We test the effect of transparency of a typical decision tradeoff in regulatory enforcement: granting forbearance or imposing a sanction. We employed a representative survey experiment (n = 1,546) in which we test the effect of transparency in general (providing information about a decision or not) and the effect of specific types of transparency (process or rationale transparency). We do this for agencies supervising financial markets, education, and health care. We find that overall decision transparency significantly increases citizen trust in only two of the three agencies. Rationale transparency has a more pronounced positive effect only for the Education Inspectorate. We conclude that the overall effect of decision transparency is positive but that the nature of the regulatory domain may weaken or strengthen this effect.     

How is the Use of Performance Information Related to Performance of Public Sector Professionals? Evidence from the Field of Academic Research

There is inconclusive evidence as to how performance management is actually related to performance, particularly in subfields of the public sector where professional work prevails. We propose that the association between the use of performance information and performance of public sector professionals varies with the targets of management control. We test our hypotheses in the field of academic research, a prime example of professionalism in the public sector. The overall results of an online survey with 1,976 observations suggest that performance management is positively related to publication performance when performance information is used for the control of input targets. In contrast, we find negative associations of performance information with performance when used to control output targets. Public managers in professional fields should consider these countervailing relationships when they compose and use control systems.     

How does government funding affect nonprofits' program spending? Evidence from international development organizations

Under the new governance models, the scope of government funding of nonprofit activities in service delivery and policy implementation is extensive. There is a long‐standing concern that government funding may compromise nonprofit operations and lead to unintended consequences. This research examines the concern by exploring the effect of government funding on nonprofits' spending on programs and services. Existing theories and empirical evidence propose competing arguments concerning the relationship between government funding and nonprofits' program spending. Using a 20‐year panel dataset of international development nonprofits registered with the United States Agency for International Development, we find that nonprofits receiving more government funding spend significantly higher proportions of their organizational resources on development programs. Government funding seems to increase nonprofits' program spending and to make them more focused on their mission‐related activities.     

Does formal independence of regulators change? Evidence from Portuguese agencies

The rise of the regulatory state has led to the global diffusion of independent regulatory agencies (IRAs). IRAs are the result of the tension between the functional demands of regulatory capitalism and the need of politicians to control policies. Their life cycles have not been linear. Their legal statuses have changed over time, affecting their degrees of independence. This article revisits Gilardi's formal independence index, makes an in‐depth diachronic and cross‐sectorial analysis of 11 regulatory bodies in Portugal, and searches for explanations for the observed variations. It concludes that the formal independence of IRAs tends to increase due to external pressure and the need of governments to project credible commitment, but principals only grant as much independence as they see fit to satisfy those (external) demands (for change).     

Does Decentralization Improve Perceptions of Accountability? Attitudinal Evidence from Colombia

Decentralization is argued to create incentives for local and regional politicians to be more responsive and accountable to their constituents, but few studies have directly tested this claim. We use survey data from Colombia to examine individual‐level evaluations of the degree to which decentralization prompts citizens to view department government as more accountable. We estimate the effect of administrative, fiscal, and political decentralization, controlling for participation, political knowledge, confidence in government, education, and income on perceptions of accountability. Our results indicate that administrative and fiscal decentralization improve perceptions of accountability, while political decentralization does not.     

How Do Sectoral Interests Shape Distributive Politics? Evidence from Gasoline and Diesel Subsidy Reforms

Sectoral interests play an important role in distributive politics, but their influence is difficult to measure. We compare the effect of international oil prices on subsidies for domestic gasoline and diesel consumption. Because diesel is used by a smaller number of organized agricultural and transportation interests, they are more capable of collective action than the dispersed beneficiaries of gasoline subsidies. The conventional wisdom holds that sectoral interests could mobilize to stop reform (e.g., price increases, deregulation). Challenging this view, we consider the possibility that sectoral interests promote reform by facilitating the targeted allocation of compensation and exemptions. An empirical analysis of gasoline and diesel prices, 1991–2012, strongly supports the second hypothesis: diesel prices respond to international oil prices more strongly than do gasoline prices. Quantitative tests and case studies allow us to explore causal mechanisms, verify that the gasoline‐diesel difference is related to actual policy reforms, and reject alternative explanations.     

How important are the cognitive skills of teenagers in predicting subsequent earnings?

How important are teenagers' cognitive skills in predicting subsequent labor market success? Do cognitive skills pay off in the labor market only for students who go to college? Does college benefit only students who enter with strong basic skills? These questions are often parts of current policy debates about how to improve the earnings prospects for young Americans. This paper addresses these questions using two longitudinal data sets with earnings information from the mid‐1980s and early 1990s. It shows that the same evidence can be used to support the claim that cognitive skills are important determinants of subsequent earnings, and that the effect of cognitive skills is modest. It also shows that while some evidence indicates that college pays off more for students who enter with strong cognitive skills than for students who enter with weaker skills, the bulk of the evidence does not support this conclusion. © 2000 by the Association for Public Policy Analysis and Management.     

Are bigger governments better providers of public goods? Evidence from air pollution

Theories explaining government size and its consequences are of two varieties. The first portrays government as a provider of public goods and a corrector of externalities. The second associates larger governments with bureaucratic inefficiency and special-interest-group influence. What distinguishes these alternatives is that only in the former is governmental expansion generally associated with an increase in social welfare. In the latter, the link between government size and public goods provision (or social welfare) is negative. We study the empirical significance of these competing claims by examining the relationship between government size and a particular public good, namely environmental quality (notably, air quality measured by SO₂ concentrations), for 42 countries over the period 1971–1996. We find that the relationship is negative, even after accounting for the quality of government (quality of bureaucracy and the level of corruption). This result may not prove conclusively that the growth of government has been driven by factors other than concern for the public good, but it creates a presumption against the theory of government size that emphasizes public good provision.     

Why fight secession? Evidence of economic motivations from the American Civil War

Why fight secession? This paper is a case study on this question, asking why the North chose to fight the South in the American Civil War. It tests a theoretical prediction that economic motivations were important, using county-level presidential election data. If economic interests like manufacturing wished to keep the Union together, they should have generated votes to do so. That prediction is borne out by the data, and explanations other than Northern economic concerns about Southern secession appear unable to explain the results, suggesting that economic motivations were important to support for fighting the South.     

Does anybody notice? How policy positions of coalition parties are perceived by voters

Does governing in coalitions affect how coalition parties’ policy positions are perceived by voters? In this article, the authors seek to understand the relationship between parties’ participation in coalition governments and their perception by voters. Policy positions are an important instrument through which parties compete for the support of voters. However, it is unclear to what extent voters can correctly perceive the positions of parties when they govern together with other coalition partners. It is argued here that because of the blurred lines of responsibility in multiparty cabinets, it is difficult for voters to correctly perceive the positions of coalition parties. What is more, it is expected that the internal functioning of coalition cabinets affects the extent to which coalition parties struggle to get their message out to voters. It is hypothesized in the article that intra‐cabinet conflict is negatively related to misperception. To test their theoretical expectations, the authors combine data on the left‐right policy positions of political parties from the Comparative Manifestos Project with data on how these positions are perceived by voters gathered from the Comparative Study of Electoral Systems from 1996 to 2011. The findings shed light on the relationship between party competition and coalition governments, and its implications for political representation.     

Who Benefits from Targeted Property Tax Relief? Evidence from Virginia Elections

This study examines the market impact of targeted property tax relief, which is critical for understanding who exactly benefits from a widely used local policy. Specifically, we investigate this in the context of two statewide ballot measures in Virginia that provided property tax relief or heightened expectations for future relief intended to aid disabled veterans and seniors, respectively. Using residential multiple listing service microdata from Virginia, results from a regression discontinuity analysis show that once the 2010 tax relief measures passed on Election Day, property values rose sharply in response to the sudden increase in demand for homeownership among the targeted groups. We find that senior preferred housing and properties within areas with higher proportions of seniors and veterans experienced the highest price appreciation, while areas with fewer veterans or seniors saw little impact. The findings suggest that this type of policy provides an immediate benefit to current homeowners, thereby offsetting benefits for subsequent homeowners within the targeted groups. This effect represents an unintended consequence of targeted property tax relief as a policy tool more generally, as immediate capitalization into home prices subsequently increases the cost of housing for many individuals the relief was intended to help.     

Who Benefits from Accountability-Driven School Closure? Evidence from New York City

We estimate the effects of accountability-driven school closure in New York City on students who attended middle schools that were closed at the time of closure and students who would have likely attended a closed middle school had it remained open. We find that students who would have entered the closed school had it not closed attended schools that perform better on standardized exams and have higher value-added measures than did the closed schools. While we find that closure did not have any measurable effect on the average student in this group, we do find that high-performing students in this group attended higher-performing schools and experienced economically-meaningful and statistically-significant improvements in their 6th-, 7th-, and 8th-grade math test scores. We find that these benefits persisted for several cohorts after closure. We also find that closure adversely affected students, low-performing students in particular, who were attending schools that closed. For policymakers, our results highlight a key trade-off of closing a low-performing school: future cohorts of relatively high-performing students may benefit from closure while low-performing students in schools designated for closure are adversely affected.     

Does Training Matter? Evidence from Performance Management Reforms

Training is much discussed but rarely studied in public management. Using multiple waves of survey data, the authors examine the effects of training on the implementation of performance management reforms in the U.S. federal government, asking whether those exposed to training are more likely to use performance data and strategic goals when making decisions. Training is positively associated with reform implementation, but there is little evidence that this association can be explained by the development of specific capacities to overcome performance management challenges. The findings offer two implications for the practice and study of training. The authors propose that training is likely to succeed if it is designed and funded to close specific capacity gaps needed for successful reform implementation. However, it is also necessary to better understand alternative causal mechanisms by which training facilitates reform implementation, such as explaining and justifying reforms.

Practitioner Points

• Training can facilitate the implementation of new policies by providing information about the policies, justifying why they are needed, and giving employees the capacity to put the new policies in place.
• Using training to build specific employee capacities is more complex, resource intensive, and rare than using training to provide information and justify reforms.
• Effective training in government requires not just more resources but also better understanding of the specific capacities needed and how to create them—research can help by identifying the most significant capacity gaps in policy implementation.

     

Are Politics and Geography Related?: Evidence from a Cross-Section of Capital Cities

With a few prominent exceptions, a capital city is typically alsothe biggest city of its country. This might suggest that a capitalcity is more attractive than other cities because of thecapital city function. In the paper, we test this hypothesis bylooking at employment growth in a sample of capital cities.Employment growth might indicate outmigration from the politicalhinterland and immigration into the capital city. Specifically, welook at a sample of regional capitals that consists of West-Germancounty seats. These county seats underwent reform in the latesixties and early seventies. In this sample, we can rejectthe idea that the county capital role does not have apositive influence on local employment growth.     

Do populist parties support referendums? A comparative analysis of election manifestos in Europe

Earlier research refers to populist parties as being advocates of a greater use of referendum. Yet, there has been no large-scale systematic test of this claim. This article addresses this gap in the literature and tests the relationship between populism and greater use for referendums in party manifestos. It analyzes 824 manifestos of 187 populist and non-populist parties in 27 Member States of the European Union between 1994 and 2018. We test if populist parties are virtually all in favor of a greater use of referendums and whether they would talk about referendums much more than non-populist parties.     

How electoral reform alters legislative speech: Evidence from the parliament of Victoria,Australia 1992–2017

Does changing single-member district (SMD) systems to proportional representation (PR) systems affect politicians' behavior? Previous studies, which have utilized cross-sectional or temporal variation in electoral systems, fail to estimate their effects. In contrast, we employ a difference-in-differences design and text analysis to estimate the causal effect of an electoral reform on politicians' issue attention. In particular, we estimate the causal effect of the electoral reform in the Parliament of Victoria in Australia, which changed the electoral systems of the Legislative Council from SMD to PR while holding the system of the Legislative Assembly constant. We analyzed a newly collected dataset of legislators' inaugural speeches from 1992 to 2017 using a topic model. The results show the electoral reform increased politicians’ attention to new economic issues but did not decrease attention to local interests such as promoting primary industries.