Article contents
Transformation from Below in Bangladesh: Decentralization, local governance, and systemic change*
Published online by Cambridge University Press: 12 January 2018
Abstract
I examine decentralization through the lens of the local dynamics it unleashed in Bangladesh. I argue that the national effects of decentralization are largely the sum of its local-level effects. Hence, to understand decentralization, we must first understand how local government works. This implies analysing not only decentralization, but also democracy, from the bottom up. I present a model of local government responsiveness as the product of political openness and substantive competition. The quality of politics, in turn, emerges endogenously as a joint product of the lobbying and political engagement of local firms/interests, and the organizational density and ability of civil society. I then test these ideas using qualitative data from Bangladesh. The evidence shows that civic organizations worked with non-governmental organizations and local governments to effect transformative change from the grass roots upwards—not just to public budgets and outputs, but to the underlying behaviours and ideas that underpin social development. In the aggregate, these effects were powerful. The result, key development indicators show, is Bangladesh leap-frogging past much wealthier India between 1990 and 2015.
- Type
- Research Article
- Information
- Modern Asian Studies , Volume 51 , Special Issue 6: Institutions and Economic Development in South Asia , November 2017 , pp. 1668 - 1694
- Copyright
- Copyright © Cambridge University Press 2018
Footnotes
I thankfully acknowledge the LSE's William Robson Memorial Prize. I thank Taifur Rahman, who conducted much of the background research for this paper, and Zulfiqar Ali, Cathy Boone, Qaiser Khan, and Yaniv Stopnitzky for their insights and constructive criticisms. I am grateful to Pradeep Chhibber, Ruth Collier, Tim Dyson, Kent Eaton, Steve Fish, Armando Godínez, David Lewis, Dilip Mookherjee, Ken Shadlen, Atiyab Sultan, seminar participants at UC Berkeley, the Initiative for Policy Dialogue, the 2014 CRASSH conference at Cambridge, and my LSE Development Management students for their thoughtful suggestions. All remaining errors are my own.
References
1 Chambers, R., ‘The origins and practice of participatory rural appraisal’, World Development, vol. 22, no. 7, July 1994, pp. 953–69CrossRefGoogle Scholar; Chambers, R., Whose Reality Counts? Putting the First Last, Intermediate Technology, London, 1997.Google Scholar
2 Bardhan, P. and Mookherjee, D. (eds), Decentralization and Local Governance in Developing Countries: A Comparative Perspective, MIT Press, Cambridge, MA, 2006 Google Scholar; J. P. Faguet, ‘Why so much centralization? A model of primitive centripetal accumulation’, LSE-STICERD Development Economics Discussion Paper No. 43, London School of Economics and Political Science, 2004; Rondinelli, D. A., ‘Government decentralization in comparative perspective: theory and practice in developing countries’, International Review of Administrative Sciences, vol. 47, 1981, pp. 133–45CrossRefGoogle Scholar; Rondinelli, D. A., Cheema, G. S., and Nellis, J., Decentralisation in Developing Countries: A Review of Recent Experience, Staff Working Paper No. 581, World Bank, Washington, DC, 1983 Google Scholar; Ter-Minassian, T. (ed.), Fiscal Federalism in Theory and Practice, International Monetary Fund, Washington, DC, 1997.Google Scholar
3 Manor, J., The Political Economy of Democratic Decentralisation, World Bank, Washington, DC, 1999 CrossRefGoogle Scholar.
4 Faguet, J. P., Decentralization and Popular Democracy: Governance from Below in Bolivia, University of Michigan Press, Ann Arbor, 2012.CrossRefGoogle Scholar
5 A. Channa and J. P. Faguet, ‘Decentralization of health and education in developing countries: a quality-adjusted review of the empirical literature’, World Bank Research Observer, vol. 31, no. 2, 2016, pp. 199–241.
6 Manor, The Political Economy; Prud'homme, R., ‘On the dangers of decentralisation’, World Bank Research Observer, vol. 10, 1995, pp. 210–26CrossRefGoogle Scholar; Rondinelli, ‘Government decentralization’.
7 Faguet, Decentralization and Popular Democracy; Faguet, J. P., ‘Can sub-national autonomy strengthen democracy in Bolivia?’, Publius: The Journal of Federalism, vol. 44, no. 1, 2014, pp. 51–81 CrossRefGoogle Scholar.
8 Galiani, S., Gertler, P., and Schargrodsky, E., ‘School decentralization: helping the good get better, but leaving the poor behind’, Journal of Public Economics, vol. 92, 2008, pp. 2106–20CrossRefGoogle Scholar.
9 Barankay, I. and Lockwood, B., ‘Decentralization and the productive efficiency of government: evidence from Swiss cantons’, Journal of Public Economics, vol. 91, 2007, pp. 1197–1218 CrossRefGoogle Scholar.
10 Eskeland, G. and Filmer, D., Autonomy, Participation, and Learning in Argentine Schools: Findings and Their Implications for Decentralization, Working Paper No. 2766, World Bank, Washington, DC, 2002 Google Scholar.
11 Faguet, J. P. and Sánchez, F., ‘Decentralization and access to social services in Colombia’, Public Choice, vol. 160, no. 1–2, 2014, pp. 227–49CrossRefGoogle Scholar.
12 Parry, T. R., ‘Achieving balance in decentralization: a case study of education decentralization in Chile’, World Development, vol. 25, 1997, pp. 211–25.CrossRefGoogle Scholar
13 Johnson, C., Deshingkar, P., and Start, D., ‘Grounding the state: devolution and development in India's panchayats’, Journal of Development Studies, vol. 41, 2005, pp. 937–70CrossRefGoogle Scholar.
14 Parker, A., Decentralization: The Way Forward for Rural Development?, Policy Research Working Paper 1475, World Bank, Washington, DC, 1995.Google Scholar
15 Ibid., p. 25.
16 Rowland, A. M., ‘Population as a determinant of local outcomes under decentralization: illustrations from small municipalities in Bolivia and Mexico’, World Development, vol. 29, 2001, pp. 1373–89CrossRefGoogle Scholar.
17 Blair, H., ‘Participation and accountability at the periphery: democratic local governance in six countries’, World Development, vol. 28, 2000, pp. 21–39.CrossRefGoogle Scholar
18 Shankar, R. and Shah, A., ‘Bridging the economic divide within countries: a scorecard on the performance of regional policies in reducing regional income disparities’, World Development, vol. 31, 2003, pp. 1421–41CrossRefGoogle Scholar.
19 Huther, J. and Shah, A., Applying a Simple Measure of Good Governance to the Debate on Fiscal Decentralization, Policy Research Working Paper 1894, World Bank, Washington, DC, 1998 Google Scholar.
20 Campbell, T., The Quiet Revolution: The Rise of Political Participation and Leading Cities with Decentralization in Latin America and the Caribbean, University of Pittsburgh Press, Pittsburgh, 2001 Google Scholar.
21 Petro, N. N., ‘Creating social capital in Russia: the Novgorod model’, World Development, vol. 29, 2001, pp. 229–44.CrossRefGoogle Scholar
22 Faguet, J. P. and Pöschl, C. (eds), Is Decentralization Good for Development? Perspectives from Academics and Policy Makers, Oxford University Press, Oxford, 2015 CrossRefGoogle Scholar; Faguet, ‘Can sub-national autonomy strengthen democracy in Bolivia?’.
23 Akin, J., Hutchinson, P., and Strumpf, K., ‘Decentralisation and government provision of public goods: the public health sector in Uganda’, Journal of Development Studies, vol. 41, 2005, pp. 1417–43CrossRefGoogle Scholar.
24 Bardhan, P. and Mookherjee, D., Expenditure Decentralization and the Delivery of Public Services in Developing Countries, Working Paper No. C98-104, Centre for International and Development Economics Research, Berkeley, 1998.Google Scholar
25 Woodhouse, P., ‘African enclosures: a default mode of development’, World Development, vol. 31, no. 10, 2003, pp. 1705–20CrossRefGoogle Scholar.
26 Casson, A. and Obidzinski, K., ‘From new order to regional autonomy: shifting dynamics of “illegal” logging in Kalimantan, Indonesia’, World Development, vol. 30, 2002, pp. 2133–51CrossRefGoogle Scholar.
27 Ellis, F. and Bahiigwa, G., ‘Livelihoods and rural poverty reduction in Uganda’, World Development, vol. 31, 2003, pp. 997–1013 CrossRefGoogle Scholar.
28 Ellis, F. and Mdoe, N., ‘Livelihoods and rural poverty reduction in Tanzania’, World Development, vol. 31, 2003, pp. 1367–84CrossRefGoogle Scholar.
29 Francis, P. and James, R., ‘Balancing rural poverty reduction and citizen participation: the contradictions of Uganda's decentralization program’, World Development, vol. 31, 2003, pp. 325–37CrossRefGoogle Scholar.
30 Bahiigwa, G., Rigby, D., and Woodhouse, P., ‘Right target, wrong mechanism? Agricultural modernization and poverty reduction in Uganda’, World Development, vol. 33, 2005, pp. 481–96CrossRefGoogle Scholar.
31 Porter, G., ‘Living in a walking world: rural mobility and social equity issues in sub-Saharan Africa’, World Development, vol. 30, 2002, pp. 285–300 CrossRefGoogle Scholar.
32 Montero, A. P. and Samuels, D. J. (eds), Decentralization and Democracy in Latin America, University of Notre Dame Press, Notre Dame, IN, 2004 Google Scholar.
33 Smith, B. C., Decentralisation: The Territorial Dimension of the State, George Allen & Unwin, London, 1985.Google Scholar
34 Solnick, S. L., ‘The breakdown of hierarchies in the Soviet Union and China’, World Politics, vol. 48, 1996, pp. 209–38CrossRefGoogle Scholar.
35 R. C. Crook and A. S. Sverrisson, ‘To what extent can decentralized forms of government enhance the development of pro-poor policies and improve poverty-alleviation outcomes?’, manuscript, 1999.
36 Smith, Decentralisation.
37 Crook and Sverrisson, ‘To what extent’.
38 Rondinelli et al., Decentralisation in Developing Countries.
39 Manor, The Political Economy.
40 Piriou-Sall, S., Decentralisation and Rural Development: A Review of Evidence, Manuscript, Washington, DC, 1998 Google Scholar.
41 Smoke, P., Fiscal Decentralisation in Developing Countries: A Review of Current Concepts and Practice, Democracy, Governance and Human Rights Programme Paper No. 2, UNRISD, Geneva, 2001 Google Scholar.
42 Faguet, Decentralization and Popular Democracy.
43 Beer, C., Electoral Competition and Institutional Change in Mexico, University of Notre Dame Press, Notre Dame, 2003 Google Scholar.
44 Boone, C., Political Topographies of the African State: Territorial Authority and Institutional Choice, Cambridge University Press, Cambridge, 2003 CrossRefGoogle Scholar.
45 M. S. Grindle, Going Local: Decentralization, Democratization, and the Promise of Good Governance, Princeton University Press, Princeton, 2007.
46 Putnam, R. D., Making Democracy Work: Civic Traditions in Modern Italy, Princeton University Press, Princeton, 1993 Google Scholar.
47 Faguet, Decentralization and Popular Democracy.
48 Political entrepreneurialism can be defined as the identification, by a new politician or party, of a bloc of voters ill-served by existing political competition. When she then develops proposals and messages attuned to this bloc's needs, and wins their votes in the following election, she is acting as a political entrepreneur (Faguet, Decentralization and Popular Democracy).
49 Faguet, J. P., ‘Building democracy in quicksand: altruism, empire and the United States’, Challenge: The Magazine of Economic Affairs, vol. 47, 2004, pp. 73–93 Google Scholar.
50 Faguet, J. P. and Ali, Z., ‘Making reform work: institutions, dispositions and the improving health of Bangladesh’, World Development, vol. 37, 2009, pp. 208–18CrossRefGoogle Scholar.
51 Shami and Faguet discuss in detail the political imperatives that explain different decentralization designs: M. Shami and J. P. Faguet, Instrumental Incoherence in Institutional Reform: Decentralization as a Structural Solution to Political Exigency, Working Paper No. 15-170, International Development Department, London School of Economics, 2015.
52 Faaland, J. and Parkinson, J. R., Bangladesh: The Test Case for Development, Westview Press, Boulder, 1976 Google Scholar.
53 Mahajan, S. and Hussain, Z., ‘What will it take for Bangladesh to reach the growth needed to achieve the MDGs?’, paper presented at Towards a Strategy for Achieving the MDG Outcomes in Bangladesh workshop, 5–6 June 2006, World Bank, Dhaka, 2006Google Scholar.
54 Ibid.
55 Government of Bangladesh, Millennium Development Goals: Bangladesh Progress Report 2015, Government of Bangladesh, Dhaka, 2015 Google Scholar.
56 World Bank, ‘To the MDGs and beyond: accountability and institutional innovation in Bangladesh’, Bangladesh Development Series Paper No. 14, Library of Congress, Bangladesh Glossary, 2007.
57 Chowdhury, A. M. R., Nath, S. R., and Choudhury, R. K., ‘Equity gains in Bangladesh primary education’, International Review of Education, vol. 49, 2003, pp. 601–19CrossRefGoogle Scholar.
58 A. Sen, quoted in A. Kumar, ‘India must emulate China in quality of life: Amartya Sen’, OneWorld South Asia, 2013, http://southasia.oneworld.net/news/india-must-emulate-china-in-quality-of-life-amartya-sen#.VOe4EymgSfQ, [accessed 12 July 2017].
59 The Economist, ‘The path through the fields’, 3 November 2012; Mahmud, W., Asadullah, M. Niaz, and Savoia, A., ‘Bangladesh's achievements in social development indicators: explaining the puzzle’, Economic & Political Weekly, vol. XLVIII, no. 44, 2013, pp. 26–8Google Scholar; Sen, quoted in Kumar, ‘India must emulate China’.
60 Government of Bangladesh, Millennium Development Goals.
61 R. H. Chaudhury, ‘Gonoshasthaya Kendra's experience in reducing maternal and child mortality—an example of transparency and accountability as a way to achieve MDG outcomes’, paper presented at Towards a Strategy for Achieving the MDG Outcomes in Bangladesh workshop, 5–6 June 2006, World Bank, Dhaka, 2006.
62 North, D. C., Institutions, Institutional Change and Economic Performance, Cambridge University Press, Cambridge, 1990 CrossRefGoogle Scholar; Williamson, O. E. (ed.), Organizational Theory: From Chester Barnard to the Present and Beyond, Expanded Edition, Oxford University Press, New York, 1995 Google Scholar; Olson, M., Power and Prosperity: Outgrowing Communist and Capitalist Dictatorships, Basic Books, New York, 2000 Google Scholar.
63 Bourdieu, P., ‘The forms of capital’, in Handbook of Theory and Research in the Sociology of Education, Richardson, J. (ed.), Greenwood Press, New York, 1986 Google Scholar.
64 Library of Congress, Bangladesh Glossary, Federal Research Division, Washington, DC, 2008.
65 One decimal equals 1/100th acre.
66 Pearson, M., Bangladesh Health Briefing Paper, Department for International Development, London, United Kingdom, 1999 Google Scholar.
67 Ibid. Ministry of Health and Family Welfare, (2008). Family Planning Program, Dhaka, Bangladesh, 2008.
68 Ensor, T., Dave-Sen, P., Ali, L., Hossain, A., Begum, S. A., and Moral, H., ‘Do essential service packages benefit the poor? Preliminary evidence from Bangladesh’, Health Policy and Planning, vol. 17, 2002, pp. 247–56CrossRefGoogle ScholarPubMed; World Health Organization, ‘Role of primary health care in health system development in Bangladesh’, Dhaka, Bangladesh, http://www.whoban.org/health_system_bangladesh.html, [accessed 12 July 2017].
69 A detailed econometric analysis of health data in the two areas by Z. Ali and T. Rahman, ‘A tale of two upazilas: a study of spatial differences in MDG outcomes in Bangladesh’, paper presented at Towards a Strategy for Achieving the MDG Outcomes in Bangladesh workshop, 5–6 June 2006, World Bank, Dhaka, 2006, supports this point.
70 Ibid.
71 Evans, P., Embedded Autonomy: States and Industrial Transformation, Princeton University Press, Princeton, 1995 Google Scholar; Evans, P., ‘Government action, social capital and development: reviewing the evidence on synergy’, World Development, vol. 24, 1996, pp. 1119–32CrossRefGoogle Scholar; Ostrom, E., Schroeder, L., and Wynne, S., Institutional Incentives and Sustainable Development: Infrastructure Policies in Perspective, Westview Press, Boulder, 1993 Google Scholar; Tendler, J., Good Government in the Tropics, Johns Hopkins University Press, Baltimore, 1997 Google Scholar.
72 Ali and Rahman's sister article, ‘A tale of two upazilas’, provides thick description case studies containing a wealth of evidence to this effect.
73 Ali and Rahman, ‘A tale of two upazilas’.
74 Chaudhury, ‘Gonoshasthaya Kendra's experience’.
75 Ali and Rahman, ‘A tale of two upazilas’.
76 Bourdieu, ‘The forms of capital’; Brett, E. A., Reconstructing Development Theory, Macmillan, London, 2009 CrossRefGoogle Scholar.
77 Chaudhury, ‘Gonoshasthaya Kendra's experience’.
78 BRAC, Annual Report 2004, Bangladesh Rural Advancement Committee, Dhaka, 2005.
79 Faguet and Ali, ‘Making reform work’.
80 Ahamed, E. and Nazneen, D. R. J. A., ‘Islam in Bangladesh: revivalism or power politics?’, Asian Survey, vol. 30, 1990, pp. 795–808 CrossRefGoogle Scholar.
81 For a discussion of the positive externalities that external interventions can generate in local governance systems, see Faguet, J. P. and Wietzke, F. B., ‘Social funds and decentralization: optimal institutional design’, Public Administration and Development, vol. 26, no. 4, 2006, pp. 303–15CrossRefGoogle Scholar.
- 16
- Cited by