Economic performance and good governance: examining the role of economic well-being in local governance evaluation in China

Citizens’ satisfaction with governance is a critical political issue in China. How do citizens evaluate the effort to improve governance quality by the Chinese government? Are citizens satisfied with the governance at the local level? Does citizens’ economic well-being affect their evaluation of local governance, and if so, how? Drawing data from the Chinese Household Income Project (CHIP) 2018 survey, this study attempts to provide some insights to these questions by investigating whether citizens’ economic well-being shapes their evaluations of local governance. We find that respondents with a stronger sense of subjective economic well-being are more likely to be satisfied with local governance. However, objective economic well-being has a slightly negative impact on local governance satisfaction. Chinese citizens generally express a high level of satisfaction with local governance. Therefore, perceived economic well-being influences local government favorability more than the representation of economic well-being in material wealth. The findings point to a complex relationship between economic well-being and evaluation of governance quality.