For several years there has been a tendency in Europe to strengthen the powers and autonomy of local governments (Allers 2014, Terman 2014), but a crucial question then is how local government capacity can be created and... [ view full abstract ]
For several years there has been a tendency in Europe to strengthen the powers and autonomy of local governments (Allers 2014, Terman 2014), but a crucial question then is how local government capacity can be created and explained? After all, successful devolution and strengthening local autonomy requires sufficient government capacity at local level to take up policy challenges and competencies. The aim of this paper is to identify characteristics and conditions that are favorable for local governments to increase their administrative capacity in order to help them perform their tasks efficiently and effectively. This knowledge also helps central governments to shape a policy framework that is adapted to the needs and requirements of local governments.
This paper presents a conceptual framework to analyze and explain local government capacity, and reports the findings of a comparative case study of 14 Flemish local governments with different characteristics (e.g. size, wealth, demography). The comparative case study, for which NVIVO and Qualitative Comparative Analysis-methods are used, not only shows the value of the conceptual framework. It also points to the need to be very cautious when judging government capacity and explaining the complex set of factors to understand the level of capacity. Main factors that come into play are not necessarily new (e.g. the importance of sufficient fiscal capacity), but they are put into relation with a broader set of factors (e.g. high sufficient fiscal capacity does not lead to government capacity if political and administrative leadership are lacking or if the local government is not attractive enough to recruit and keep the right staff in the municipal services) and the institutional context. The analysis also shows the need to take a dynamic view: the lack of political leadership in the past might explain the current situation, but the change in leadership might be promising for increase of government capacity in the near future.
Allers, M. A. G., J.B. (2014). "The effects of local government amalgation on public spending, taxation and service levels. Evidence from 15 years of municipal boundary reform." Journal of Regional Science 56(4): 659-682.
Terman, J. N. F., R. C. (2014). "Improving Outcomes in Fiscal Federalism: Local Political Leadership and Administrative Capacity." Journal of Public Administration Research and Theory 25: 1059-1080.
