Centralization, Elite Capture, and Service Provision: Evidence From Taiwan

Research shows the effects of institutional change in Taiwan, which reversed administrative, fiscal, and political decentralization.
The findings indicate that centralization leads to a decrease in the provision of public goods.
The negative impact is particularly pronounced for public goods that involve more local government activity. Additionally, the research highlights the limited improvement in service provision in areas with high levels of local elite capture. This emphasizes the importance of decentralization in enhancing local service delivery.

Image courtesy of interviewee. November 24, 2023

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