Quality of sub-national government and regional development in Africa

Yohan Iddawela, Neil Lee and Andrés Rodríguez-Pose

LSE Research Online Documents on Economics from London School of Economics and Political Science, LSE Library

Abstract: Despite widespread interest in government quality and economic development, the role of sub-national government has been largely overlooked. This represents an omission in Africa, given ongoing processes of devolution in much of the continent. In this article, we consider the impact of sub-national government institutions on economic development in 339 regions across 22 African countries. We create a novel index of sub-national government quality based on large-scale survey data and assess its impact on regional economies using satellite data on night light luminosity. To address causality concerns, we instrument sub-national government quality with data from pre-colonial societies. Our results show a positive and significant relationship between sub-national government quality and regional economic development, even when controlling for the quality of national-level institutions. Better sub-national governments are a powerful but often overlooked determinant of development in Africa.

Keywords: institutions; quality of government; regions; Africa; decentralisation (search for similar items in EconPapers)
JEL-codes: J01 N0 R14 (search for similar items in EconPapers)
Pages: 21 pages
Date: 2021-08-03
New Economics Papers: this item is included in nep-afr, nep-dev, nep-geo, nep-his and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Published in The Journal of Development Studies, 3, August, 2021, 57(8), pp. 1282 - 1302. ISSN: 0022-0388

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http://eprints.lse.ac.uk/107906/ Open access version. (application/pdf)

Related works:
Journal Article: Quality of Sub-national Government and Regional Development in Africa (2021)
Working Paper: Quality of sub-national government and regional development in Africa (2021)
Working Paper: Quality of sub-national government and regional development in Africa (2021)
Working Paper: Quality of sub-national government and regional development in Africa (2021)
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Persistent link: https://EconPapers.repec.org/RePEc:ehl:lserod:107906

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