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Social accountability to contain corruption

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  • Lambert-Mogiliansky, A.

Abstract

In this paper we investigate the welfare properties of simple reappointment rules aimed at holding public officials accountable and monitoring their activity. Public officials allocate budget resources to various activities delivering public services to citizens. Officials have discretion over the use of resource, and can divert some of them for private ends. Due to a liability constraint, zero diversion can never be obtained in all states. The optimal reappointment mechanism under complete information is shown to exhibit some leniency. In the absence of information a rule with random verification in a pre-announced subset is shown to be optimal. Surprisingly, most common rules make little use of hard information about service delivery when available. By way of contrast, requesting that the public official defend his record publicly can be very useful if service users can refute false claims with cheap-talk complaints: the first-best complete information outcome can be approached.

Suggested Citation

  • Lambert-Mogiliansky, A., 2015. "Social accountability to contain corruption," Journal of Development Economics, Elsevier, vol. 116(C), pages 158-168.
    • Handle: RePEc:eee:deveco:v:116:y:2015:i:c:p:158-168
    DOI: 10.1016/j.jdeveco.2015.04.006
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    References listed on IDEAS

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    1. Torsten Persson & Gérard Roland & Guido Tabellini, 1997. "Separation of Powers and Political Accountability," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(4), pages 1163-1202.
    2. Ariane Lambert-Mogiliansky, 2014. "Social Accountability: Persuasion and Debate to Contain Corruption," Working Papers halshs-00922092, HAL.
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    5. Jacob Glazer & Ariel Rubinstein, 2004. "On Optimal Rules of Persuasion," Econometrica, Econometric Society, vol. 72(6), pages 1715-1736, November.
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    Cited by:

    1. Ivar Kolstad & Arne Wiig, 2016. "How do voters respond to information on self-serving elite behaviour? Evidence from a randomized survey experiment in Tanzania," CMI Working Papers 9, CMI (Chr. Michelsen Institute), Bergen, Norway.
    2. Antonio Estache & Renaud Foucart, 2016. "Corruption and Incompetence in Public Procurement," Working Papers ECARES ECARES 2016-05, ULB -- Universite Libre de Bruxelles.
    3. Abu Elias Sarker & Syed Awais Ahmad Tipu & Farhana Razzaque, 2022. "An Integrative Dynamic Framework of Social Accountability: Determinants, Initiatives, and Outcomes," Public Organization Review, Springer, vol. 22(1), pages 117-133, March.
    4. Estache, Antonio & Foucart, Renaud, 2018. "The scope and limits of accounting and judicial courts intervention in inefficient public procurement," Journal of Public Economics, Elsevier, vol. 157(C), pages 95-106.
    5. Ivar Kolstad & Arne Wiig, 2016. "How do voters respond to information on self-serving elite behaviour? Evidence from a randomized survey experiment in Tanzania," CMI Working Papers 9, CMI (Chr. Michelsen Institute), Bergen, Norway.

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