CMI Research Group
Public Sector Reform
Presentation | People | Projects | Publications
How to accomplish an efficient, responsive and accountable public sector? This is the main concern informing the research group on Public Sector Reform. Focus is on (1) management of public resources and transparency in decision making processes, (2) how governments in poor countries can raise financial resources in ways that enhance their effectiveness and political legitimacy, (3) provision of public services and infrastructure for the poor, and (4) interventions for reaching the most marginalised parts of the population who are often excluded from public institutions and services.
Current focus:
- Managing Public Resources
- Budgetary processes and economic governance
- Corruption and patterns of accountability
- Local government reform and decentralisation
- Networks, informal practices and politics
- Financing the State
- Taxation and tax reforms
- Intergovernmental fiscal relations
- Revenues from natural resources and extractive industries
- Foreign aid
- Service Delivery and Infrastructure
- Health
- Education
- Electricity
- Coping without the State
- Political exclusion
- Social marginalisation
- Feminisation of poverty
- The role of civil society and traditional institutions
Analytical framework: The research area, including theoretical perspectives and methodologies, is based primarily in the disciplines of economics and political science, but also involves social anthropology, law and history. Within the analytical frameworks of political economy, incentive and regulation theories, and new institutionalism, as well as practise theory and participatory qualitative research, this research area aims to contribute with empirical and theoretical insights to inform the reform agenda and policy debates on public sector reforms in developing countries. The purpose of the research is to undertake research on these issues and to act as a clearing-house and stimulus for research undertaken elsewhere.
Distinct programmes and projects constitute central focal points of the broader research agenda.
Widespread and systemic corruption and mismanagement of public finances continue to be major impediments to economic, political and social development in poor countries. Building on the programme Corruption and Reform and work by the Anti-Corruption Resource Centre - U4 (http://www.u4.no/), research on corruption endeavour to combine country specific, sector and thematic knowledge to reach a deeper understanding of both the obstacles and potentials of economic, political and administrative reforms to curb corruption and other power abuses. The role played by international organisations and multinational companies, in fostering as well as combating corruption is also an important part of this research agenda. Linked to this and of particular significance for the research group is the budgetary process, which is supposed to facilitate and improve the public sector decision making. The government's plans for development and their fiscal priorities are reflected in the budgetary allocations, and our research will use that information to understand how, and if, governments respond to their citizens. Of special interest is whether and under what conditions local government reforms will improve the efficiency and responsiveness of the public sector.
Most poor states are unable to raise the revenue they need for providing basic services to the majority of its citizens. The dependence on foreign aid or revenues from natural resources, especially oil and minerals, may create disincentives for domestic revenue mobilisation. Building onto the Taxation, Aid and Democracy programme, but with a stronger focus on tax administrative practices and the political economy tax policies, a key research issue is how governments in poor countries can raise financial resources in ways that enhance their effectiveness and political legitimacy. Historically, bargaining and negotiation over taxation have been central to the idea of a social fiscal contract between state and society: a pattern of accountability based on the principle of reciprocity and mutual obligations, rather than patronage and coercion. However, high levels of aid or ‘rents' from extractive industries raise concerns about disconnections between governments and their citizens. The research aims to examine whether and how the idea of a social fiscal contract can be realised by developing countries and progressed with help from donors - in an era of scaled-up aid. One specific area of research in this context is tax evasion. This includes the question of possible links between the level and arbitrariness of taxes and regulations, the resulting evasion and corruption, and the evolution of the shadow economy. Of special concern are the impacts of central and local government tax systems on the formalisation of small- and micro enterprises.
3. Service Delivery and Infrastructure
The research agenda also deals with the expenditure side of the fiscal system. The research group aims to examine the issue of service delivery as seen from both the government and citizens. In many developing countries, the absence of effective citizen influence and accountability has contributed to expenditure patterns that are not directed to the needs of the poor and often riddled by inefficiency. In addition to directly addressing the needs of the poor, public spending reveals information about government responsiveness to the poor more generally. Particular emphasis is placed on the health sector in the research programme Global Health and Development. The main goal of this research is to increase our knowledge of how health systems in developing countries can be brought to deliver those health services that are so badly needed. Focus will be on the supply-side constraints such as the current shortage of health workers. The research will also examine which factors determine the formation and implementation of national health policies. Linked to this is the scope for joint production of public services through the combined efforts of government and non-government organisations, including private and traditional actors, local communities and donors.
One of the salient characteristics of the poorest and most destitute sections of urban and rural populations is their marginalisation or exclusion from public institutions and services. This may be the result of political exclusion, inaccessibility due to high costs or other constraints or inadequacy of the services offered, all of which may compel people to seek alternative solutions for example through the private sector, traditional institutions, the church or illicit activities. This component of the research area focuses on the coping strategies of the very poorest, and monitor and evaluate public policies and interventions for reaching the most marginalised. It is built around two main programmes carried out in Mozambique: (i) Social Relations of Poverty, where processes of inclusion and exclusion of public policies and interventions is a central component; and (ii) Gender Policies and Feminisation of Poverty, focussing on alternative strategies of poor female headed households, and their position in relation to public institutions and the informal economy.
