Decentralization and trust in government: Quasi-experimental evidence from Ukraine

Helge Arends, Tymofii Brik, Benedikt Herrmann and Felix Roesel

Journal of Comparative Economics, 2023, vol. 51, issue 4, 1356-1365

Abstract: Can decentralization of political powers increase trust in government? We present quasi-experimental evidence from Ukraine where political trust has been among the lowest levels worldwide. The national government devolved powers and resources to newly formed local governments (hromadas) between 2015 and 2020; this includes a substantial share of taxes on local incomes. We exploit local differences in the timing of the decentralization reform. Difference-in-differences estimations show that citizens in decentralized communities report more trust in local authorities and participate more often in local elections. The most likely mechanism is the democratic process of coming together to build new local communities. Local trust however does not spill over to trust in national institutions. The results may explain the strong role of hromadas in Ukraine’s resilience against the detrimental effects of the Russian invasion.

Keywords: Decentralization; Devolution; Democracy; Trust; Resilience; Ukraine (search for similar items in EconPapers)
JEL-codes: D73 H11 H77 P25 R50 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0147596723000689
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:jcecon:v:51:y:2023:i:4:p:1356-1365

DOI: 10.1016/j.jce.2023.08.002

Access Statistics for this article

Journal of Comparative Economics is currently edited by D. Berkowitz and G. Roland

More articles in Journal of Comparative Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().