Anil B. Deolalikar Shikha Jha Pilipinas F. Quising Deolalikar Shikha Jha Pilipinas F. Anil B. ASIA IN DEVELOPING GOVERNANCE GOVERNANCE IN DEVELOPING ASIA ‘This is an outstanding set of essays Governance in Developing Asia is one of the on the state of, and changes in, public first books of its kind to provide an overview EDITED BY services in developing Asia, paying of the role that better governance and citizen particular attention to evidence and empowerment can play in improving public Anil B. Deolalikar lessons and examining the role that service delivery in developing Asia. The World governance and citizen empowerment Development Report 2004 set a framework Shikha Jha can play in improving public service for public service delivery in terms of the delivery. The themes cover the complex short and long roads to accountability of Pilipinas F. Quising relationship between governance service providers to citizens. More than a and economic development; the decade on, this important book revisits the delivery of public services as the issue and departs from the WDR framework, face of governance; and the role of highlighting its shortcomings and offering empowerment in improving the delivery alternative solutions. GOVERNANCE IN of public services. Each chapter, written by an acknowledged expert, offers an The contributors present fresh evidence on insightful review of the debates and the relationship between governance and DEVELOPING ASIA evidence, and a meticulous distillation development outcomes, including growth of policy implications. A tour de force and indicators of living standards. They argue Public Service Delivery and Empowerment that will be indispensable for both that the Asia-Pacific region must do better in policymakers and scholars in this field.’ delivering essential public services if it wishes Raghav Gaiha, University of Delhi, India to continue improving the quality of life for millions of its people. They show how the ‘Governance is central to mass quantity and quality of public services in a prosperity since it affects both the country can be improved if the government prospects for enhanced and sustained actively solicits citizen involvement in service income growth as well as non-income delivery. indicators of human development. This volume, edited by Anil Deolalikar, Shikha Researchers and students of public policy Jha and Pilipinas Quising, puts together and Asian studies will find this to be a useful cogent and well-rounded analyses by read. Public policymakers and practitioners in leading scholars on this topic and hence government and non-government agencies provides an in-depth and prescient will draw important lessons from the issues perspective on governance in the raised and solutions proposed in this book. Asia-Pacific countries. As such, this is an invaluable contribution and will be welcomed by academics and students as Anil B. Deolalikar is at the University of well as policymakers.’ California, Riverside, USA and Shikha Jha Raghbendra Jha, Australian National and Pilipinas F. Quising are at the Asian University Development Bank, Philippines. CONTACT Andy Driver JOB NO 1536 DATE SENT 10.03.15 TITLE GOVERNANCE IN DEVELOPING ASIA EDITOR Caroline Cornish TEL 07944 643920 PRODUCTION CONTROLLER Ilsa Williamson ORDER 52957 SPINE BULK 24mm JACKET SIZE Royal PPC 234mm x 156mm COLOURS CMYK EMAIL [email protected] PLEASE NOTE Colours on printed laser proofs may differ slightly to those viewed on PDFs due to the nature of laser printing compared to the colour values seen on screen. Governance in Developing Asia DEOLALIKAR 9781784715564 PRINT (M3626).indd i 13/03/2015 14:26 DEOLALIKAR 9781784715564 PRINT (M3626).indd ii 13/03/2015 14:26 Governance in Developing Asia Public Service Delivery and Empowerment Edited by Anil B. Deolalikar University of California, Riverside, USA Shikha Jha Asian Development Bank, Philippines Pilipinas F. Quising Asian Development Bank, Philippines CO-PUBLICATION OF THE ASIAN DEVELOPMENT BANK AND EDWARD ELGAR PUBLISHING Cheltenham, UK • Northampton, MA, USA DEOLALIKAR 9781784715564 PRINT (M3626).indd iii 13/03/2015 14:26 © Asian Development Bank 2015 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical or photocopying, recording, or otherwise without the prior permission of the publisher. Published by Edward Elgar Publishing Limited Edward Elgar Publishing, Inc. The Lypiatts William Pratt House 15 Lansdown Road 9 Dewey Court Cheltenham Northampton Glos GL50 2JA Massachusetts 01060 UK USA The views expressed in this book are those of the authors and do not necessarily refl ect the views and policies of the Asian Development Bank (ADB), its Board of Governors or the governments they represent. ADB does not guarantee the accuracy of the data included in this publication and accepts no responsibility for any consequences of their use. By making any designation of or reference to a particular territory or geographic area, or by using the term “country” in this document, ADB does not intend to make any judgments as to the legal or other status of any territory or area. ADB encourages printing or copying information exclusively for personal and noncommercial use with proper acknowledgment of ADB. Users are restricted from reselling, redistributing, or creating derivative works for commercial purposes without the express, written consent of ADB. Asian Development Bank 6 ADB Avenue, Mandaluyong City 1550 Metro Manila, Philippines Tel +63 2 632 4444 Fax +63 2 636 2444 www.adb.org A catalogue record for this book is available from the British Library Library of Congress Control Number: 2014954962 This book is available electronically in the Social and Political Science subject collection DOI 10.4337/9781784715571 ISBN 978 1 78471 556 4 (cased) ISBN 978 1 78471 557 1 (eBook) Typeset by Servis Filmsetting Ltd, Stockport, Cheshire Printed and bound in Great Britain by T.J. International Ltd, Padstow DEOLALIKAR 9781784715564 PRINT (M3626).indd iv 13/03/2015 14:26 Contents List of contributors vii Foreword by Bindu Lohani xiii Acknowledgments xv List of abbreviations xvi 1 Overview 1 Anil B. Deolalikar and Shikha Jha PART I GOOD GOVERNANCE AND ECONOMIC DEVELOPMENT 2 Governance in developing Asia: concepts, measurements, determinants and a paradox 17 M.G. Quibria 3 Do governance indicators explain growth performance? A cross- country analysis 49 Xuehui Han, Haider A. Khan and Juzhong Zhuang 4 Governance and development outcomes in Asia 78 Kunal Sen 5 Corruption in Asia and the Pacific: a manifestation of weak governance 101 Shikha Jha and Pilipinas F. Quising PART II SERVICE DELIVERY AS THE FACE OF GOVERNANCE 6 The state of public services in developing Asia 139 Anil B. Deolalikar and Shikha Jha 7 Harnessing public–private service delivery arrangements in developing Asia 155 Joseph J. Capuno v DEOLALIKAR 9781784715564 PRINT (M3626).indd v 13/03/2015 14:26 vi Governance in developing Asia 8 Improving service delivery through decentralization 180 Giorgio Brosio 9 Improving education services: district governance and student learning in Indonesia 208 Menno Pradhan and Joppe de Ree PART III ROLE OF EMPOWERMENT IN IMPROVING PUBLIC SERVICES 10 Citizen empowerment in service delivery 229 Babken Babajanian 11 Rights, accountability and citizenship: India’s emerging welfare state 260 Yamini Aiyar and Michael Walton 12 Using ICT to improve governance and service delivery to the poor 296 Subhash Bhatnagar 13 Concluding remarks 323 Anil B. Deolalikar and Shikha Jha Index 333 DEOLALIKAR 9781784715564 PRINT (M3626).indd vi 13/03/2015 14:26 Contributors Yamini Aiyar is Director of the Accountability Initiative at the Centre for Policy Research in Delhi. This is a research group that tracks govern- ment planning, budgeting and decision- making systems in social- sector programs. Prior to joining the Accountability Initiative, Aiyar worked at the World Bank and the Ford Foundation. She has extensive research and implementation experience in issues related to strengthening citizen partici- pation in public services. Aiyar has an MS degree in development studies from the London School of Economics and an MA in social and political sciences at St. Edmund’s College, University of Cambridge. Babken Babajanian is Programme Tutor at the Institute of Public Aff airs of the London School of Economics. He has experience in policy- oriented research, analysis and operational work on social protection, social exclu- sion, local governance and community- driven development gained at the London School of Economics, ADB, and the Overseas Development Institute. Babajanian has a PhD in social policy from the London School of Economics and a Master’s degree in international aff airs from Columbia University. Subhash Bhatnagar is an Adjunct Professor at the Indian Institute of Management, Ahmedabad, where he has taught for 28 years and held the positions of Dean, member of the board of governors and CMC Chair Professorship. From 2000 to 2006, he worked as an advisor at the World Bank to mainstream e- governance in the institution’s operations. Bhatnagar has also advised countries on e- governance strategies, and is currently working on India’s National eGovernance Plan. He has published seven books and numerous papers on governance, poverty alleviation and education. Giorgio Brosio is Professor of Public Economics in the Department of Economics and Statistics at the University of Torino. He has also taught at the University of Bari and the University of Geneva. From 2009 to 2012, he served as the President of the Società Italiana di Economia Pubblica (Italian Public Economics Association) and remains a board member. His research interests are in public choice and fi scal federalism. He has worked extensively as a consultant for international institutions, including vii DEOLALIKAR 9781784715564 PRINT (M3626).indd vii 13/03/2015 14:26 viii Governance in developing Asia the International Monetary Fund, the World Bank, the Inter- American Development Bank and the European Union on public sector reform and development, with particular emphasis on taxation, natural resources and decentralization.