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Monitoring Corruption: Can Top-Down Monitoring Crowd Out Grassroots Participation?

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  • Robert Gonzalez
  • Matthew Harvey
  • Foteini Tzachrista

Abstract

Empirical evidence on the effectiveness of grassroots monitoring is mixed. This paper proposes a previously unexplored mechanism that may explain this result. We argue that the presence of effective top-down monitoring alternatives can undermine citizen participation in the monitoring process. Using Olken’s (2009) road-building field experiment, we find that the effect of grassroots monitoring on missing expenditures drops by more than 90% in villages where a government audit is also implemented. We find evidence of crowding-out effects: in audit villages, individuals are less likely to attend, talk at, and actively participate in accountability meetings.

Suggested Citation

  • Robert Gonzalez & Matthew Harvey & Foteini Tzachrista, 2025. "Monitoring Corruption: Can Top-Down Monitoring Crowd Out Grassroots Participation?," Economic Development and Cultural Change, University of Chicago Press, vol. 73(3), pages 1073-1108.
    • Handle: RePEc:ucp:ecdecc:doi:10.1086/730490
    DOI: 10.1086/730490
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