IDEAS home Printed from https://ideas.repec.org/p/hal/spmain/hal-03460928.html
   My bibliography  Save this paper

Isolated Capital Cities, Accountability and Corruption: Evidence from US States

Author

Listed:
  • Quoc-Anh Do

    (ECON - Département d'économie (Sciences Po) - Sciences Po - Sciences Po - CNRS - Centre National de la Recherche Scientifique)

  • Filipe Campante

    (Harvard University)

Abstract

We show that isolated capital cities are robustly associated with greater levels of corruption across US states, in line with the view that this isolation reduces accountability, and in contrast with the alternative hypothesis that it might forestall political capture. We then provide direct evidence that the spatial distribution of population relative to the capital affects different accountability mechanisms over state politics: newspaper coverage, voter knowledge and information, and turnout. We also find evidence against the capture hypothesis: isolated capitals are associated with more money in state-level campaigns. Finally, we show that isolation is linked with worse public good provision.

Suggested Citation

  • Quoc-Anh Do & Filipe Campante, 2013. "Isolated Capital Cities, Accountability and Corruption: Evidence from US States," SciencePo Working papers Main hal-03460928, HAL.
  • Handle: RePEc:hal:spmain:hal-03460928
    Note: View the original document on HAL open archive server: https://sciencespo.hal.science/hal-03460928
    as

    Download full text from publisher

    File URL: https://sciencespo.hal.science/hal-03460928/document
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Filipe R. Campante & Quoc-Anh Do, 2014. "Isolated Capital Cities, Accountability, and Corruption: Evidence from US States," American Economic Review, American Economic Association, vol. 104(8), pages 2456-2481, August.
    2. Alberto Alesina & Reza Baqir & William Easterly, 1999. "Public Goods and Ethnic Divisions," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(4), pages 1243-1284.
    3. James M. Snyder & David Strömberg, 2010. "Press Coverage and Political Accountability," Journal of Political Economy, University of Chicago Press, vol. 118(2), pages 355-408, April.
    4. Filipe R. Campante & Quoc-Anh Do, 2014. "Isolated Capital Cities, Accountability, and Corruption: Evidence from US States," American Economic Review, American Economic Association, vol. 104(8), pages 2456-2481, August.
    5. Daniel Lederman & Norman V. Loayza & Rodrigo R. Soares, 2005. "Accountability And Corruption: Political Institutions Matter," Economics and Politics, Wiley Blackwell, vol. 17(1), pages 1-35, March.
    6. Gordon, Sanford C., 2009. "Assessing Partisan Bias in Federal Public Corruption Prosecutions," American Political Science Review, Cambridge University Press, vol. 103(4), pages 534-554, November.
    7. repec:bla:ecopol:v:17:y:2005:i::p:1-35 is not listed on IDEAS
    8. Matthew Gentzkow & Jesse M. Shapiro, 2010. "What Drives Media Slant? Evidence From U.S. Daily Newspapers," Econometrica, Econometric Society, vol. 78(1), pages 35-71, January.
    9. Albert Saiz & Uri Simonsohn, 2013. "Proxying For Unobservable Variables With Internet Document-Frequency," Journal of the European Economic Association, European Economic Association, vol. 11(1), pages 137-165, February.
    10. Davis, James C. & Henderson, J. Vernon, 2003. "Evidence on the political economy of the urbanization process," Journal of Urban Economics, Elsevier, vol. 53(1), pages 98-125, January.
    11. Matthew Gentzkow & Edward L. Glaeser & Claudia Goldin, 2006. "The Rise of the Fourth Estate. How Newspapers Became Informative and Why It Mattered," NBER Chapters, in: Corruption and Reform: Lessons from America's Economic History, pages 187-230, National Bureau of Economic Research, Inc.
    12. James H. Stock & Motohiro Yogo, 2002. "Testing for Weak Instruments in Linear IV Regression," NBER Technical Working Papers 0284, National Bureau of Economic Research, Inc.
    13. repec:hal:spmain:info:hdl:2441/7t0dp4mp8288lr2u6l7j8uk4li is not listed on IDEAS
    14. Campante, Filipe R. & Do, Quoc-Anh & Guimaraes, Bernardo, 2012. "Isolated Capital Cities and Misgovernance: Theory and Evidence," Working Paper Series rwp12-058, Harvard University, John F. Kennedy School of Government.
    15. James E. Alt & David Dreyer Lassen, 2010. "Enforcement and Public Corruption: Evidence from US States," EPRU Working Paper Series 2010-08, Economic Policy Research Unit (EPRU), University of Copenhagen. Department of Economics.
    16. Holbrook, Thomas M. & Van Dunk, Emily, 1993. "Electoral Competition in the American States," American Political Science Review, Cambridge University Press, vol. 87(4), pages 955-962, December.
    17. Filipe Campante & Quoc-Anh Do, 2010. "A Centered Index of Spatial Concentration: Expected Influence Approach," Working Papers hal-03460167, HAL.
    18. repec:hal:spmain:info:hdl:2441/4tc33icveb94nokk2rd2ettg0k is not listed on IDEAS
    19. Brunetti, Aymo & Weder, Beatrice, 2003. "A free press is bad news for corruption," Journal of Public Economics, Elsevier, vol. 87(7-8), pages 1801-1824, August.
    20. Edward L. Glaeser & Claudia Goldin, 2006. "Corruption and Reform: Lessons from America's Economic History," NBER Books, National Bureau of Economic Research, Inc, number glae06-1.
    21. Alberto F. Ades & Edward L. Glaeser, 1995. "Trade and Circuses: Explaining Urban Giants," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 110(1), pages 195-227.
    22. Dora L. Costa & Naomi R. Lamoreaux, 2011. "Understanding Long-Run Economic Growth: Geography, Institutions, and the Knowledge Economy," NBER Books, National Bureau of Economic Research, Inc, number cost10-1.
    23. James E. Alt & David D. Lassen, 2008. "Political And Judicial Checks On Corruption: Evidence From American State Governments," Economics and Politics, Wiley Blackwell, vol. 20(1), pages 33-61, March.
    24. Engstrom, Erik J. & Hammond, Jesse R. & Scott, John T., 2013. "Capitol Mobility: Madisonian Representation and the Location and Relocation of Capitals in the United States," American Political Science Review, Cambridge University Press, vol. 107(2), pages 225-240, May.
    25. James E. Alt & David Dreyer Lassen, 2003. "The Political Economy of Institutions and Corruption in American States," Journal of Theoretical Politics, , vol. 15(3), pages 341-365, July.
    26. Fisman, Raymond & Gatti, Roberta, 2002. "Decentralization and Corruption: Evidence from U.S. Federal Transfer Programs," Public Choice, Springer, vol. 113(1-2), pages 25-35, October.
    27. Andrews,Donald W. K. & Stock,James H. (ed.), 2005. "Identification and Inference for Econometric Models," Cambridge Books, Cambridge University Press, number 9780521844413, September.
    28. Costa, Dora L. & Lamoreaux, Naomi R. (ed.), 2011. "Understanding Long-Run Economic Growth," National Bureau of Economic Research Books, University of Chicago Press, number 9780226116341, September.
    29. repec:hal:spmain:info:hdl:2441/nhjqqngq98lnqqrct2aj93qja is not listed on IDEAS
    30. repec:hal:spmain:info:hdl:2441/4eh5eurum690ur8datvh2sb4g9 is not listed on IDEAS
    31. Matthew Gentzkow, 2006. "Television and Voter Turnout," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(3), pages 931-972.
    32. Ritva Reinikka & Jakob Svensson, 2005. "Fighting Corruption to Improve Schooling: Evidence from a Newspaper Campaign in Uganda," Journal of the European Economic Association, MIT Press, vol. 3(2-3), pages 259-267, 04/05.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. repec:spo:wpmain:info:hdl:2441/dambferfb7dfprc9lj6bo200k is not listed on IDEAS
    2. repec:hal:wpspec:info:hdl:2441/dambferfb7dfprc9lj6bo200k is not listed on IDEAS
    3. repec:hal:spmain:info:hdl:2441/dambferfb7dfprc9lj6bo200k is not listed on IDEAS
    4. Filipe R. Campante & Quoc-Anh Do, 2014. "Isolated Capital Cities, Accountability, and Corruption: Evidence from US States," American Economic Review, American Economic Association, vol. 104(8), pages 2456-2481, August.
    5. repec:spo:wpecon:info:hdl:2441/dambferfb7dfprc9lj6bo200k is not listed on IDEAS
    6. repec:hal:spmain:info:hdl:2441/4tc33icveb94nokk2rd2ettg0k is not listed on IDEAS
    7. Filipe R. Campante & Quoc-Anh Do, 2014. "Isolated Capital Cities, Accountability, and Corruption: Evidence from US States," American Economic Review, American Economic Association, vol. 104(8), pages 2456-2481, August.
    8. repec:hal:spmain:info:hdl:2441/nhjqqngq98lnqqrct2aj93qja is not listed on IDEAS
    9. repec:spo:wpecon:info:hdl:2441/6ggbvnr6munghes9ocq36eaai is not listed on IDEAS
    10. repec:hal:wpspec:info:hdl:2441/6ggbvnr6munghes9ocq36eaai is not listed on IDEAS
    11. repec:hal:spmain:info:hdl:2441/6ggbvnr6munghes9ocq36eaai is not listed on IDEAS
    12. Filipe R. Campante & Quoc-Anh Do, 2014. "Isolated Capital Cities, Accountability, and Corruption: Evidence from US States," American Economic Review, American Economic Association, vol. 104(8), pages 2456-2481, August.
    13. Rajeev K. Goel & Michael A. Nelson, 2014. "Whistleblower laws and exposed corruption in the United States," Applied Economics, Taylor & Francis Journals, vol. 46(20), pages 2331-2341, July.
    14. Strömberg, David & Prat, Andrea, 2011. "The Political Economy of Mass Media," CEPR Discussion Papers 8246, C.E.P.R. Discussion Papers.
    15. Petrova, Maria, 2011. "Newspapers and Parties: How Advertising Revenues Created an Independent Press," American Political Science Review, Cambridge University Press, vol. 105(4), pages 790-808, November.
    16. Gans-Morse, Jordan & Borges, Mariana & Makarin, Alexey & Mannah-Blankson, Theresa & Nickow, Andre & Zhang, Dong, 2018. "Reducing bureaucratic corruption: Interdisciplinary perspectives on what works," World Development, Elsevier, vol. 105(C), pages 171-188.
    17. Rajeev K. Goel & Michael A. Nelson, 2014. "Whistleblower laws and exposed corruption in the United States," Applied Economics, Taylor & Francis Journals, vol. 46(20), pages 2331-2341, July.
    18. repec:zbw:bofitp:2013_009 is not listed on IDEAS
    19. David Strömberg, 2015. "Media and Politics," Annual Review of Economics, Annual Reviews, vol. 7(1), pages 173-205, August.
    20. Filipe R. Campante & Quoc-Anh Do & Bernardo Guimaraes, 2019. "Capital Cities, Conflict, and Misgovernance," American Economic Journal: Applied Economics, American Economic Association, vol. 11(3), pages 298-337, July.
    21. Francesco Sobbrio, 2014. "The political economy of news media: theory, evidence and open issues," Chapters, in: Francesco Forte & Ram Mudambi & Pietro Maria Navarra (ed.), A Handbook of Alternative Theories of Public Economics, chapter 13, pages 278-320, Edward Elgar Publishing.
    22. Jeffrey Milyo & Adriana Cordis, 2013. "Measuring Public Corruption in the United States: Evidence from Administrative Records of Federal Prosecutions," Working Papers 1322, Department of Economics, University of Missouri.
    23. Melki, Mickael & Pickering, Andrew, 2020. "Polarization and corruption in America," European Economic Review, Elsevier, vol. 124(C).
    24. Julia Cage, 2017. "Media Competition, Information Provision and Political Participation: Evidence from French Local Newspapers and Elections, 1944-2014," SciencePo Working papers Main hal-03393164, HAL.
    25. Smith, Jared D., 2016. "US political corruption and firm financial policies," Journal of Financial Economics, Elsevier, vol. 121(2), pages 350-367.
    26. repec:spo:wpmain:info:hdl:2441/16juu6v6rg8rq8nl0u1grb4jm6 is not listed on IDEAS
    27. repec:spo:wpmain:info:hdl:2441/4eh5eurum690ur8datvh2sb4g9 is not listed on IDEAS
    28. Charles Angelucci & Julia Cagé & Michael Sinkinson, 2024. "Media Competition and News Diets," American Economic Journal: Microeconomics, American Economic Association, vol. 16(2), pages 62-102, May.
    29. Campante, Filipe R. & Do, Quoc-Anh & Guimaraes, Bernardo, 2012. "Isolated Capital Cities and Misgovernance: Theory and Evidence," Working Paper Series rwp12-058, Harvard University, John F. Kennedy School of Government.
    30. Ruben Enikolopov & Maria Petrova & Ekaterina Zhuravskaya, 2011. "Media and Political Persuasion: Evidence from Russia," American Economic Review, American Economic Association, vol. 101(7), pages 3253-3285, December.
    31. Julia Cagé, 2014. "Media Competition, Information Provision and Political Participation," SciencePo Working papers hal-03602440, HAL.
    32. Hsien-Yi Chen & Sheng-Syan Chen, 2023. "Can credit default swaps exert an enduring monitoring influence on political integrity?," Review of Quantitative Finance and Accounting, Springer, vol. 60(2), pages 445-469, February.

    More about this item

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • L82 - Industrial Organization - - Industry Studies: Services - - - Entertainment; Media
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R50 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:spmain:hal-03460928. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Contact - Sciences Po Departement of Economics (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.