Governance Issues in Delivery of Public Services

In this paper we note that the institutional context (and therefore the structure of incentives and organisation) in developing economies is quite different from those in advanced industrial economies, and this necessitates any discussion on the local governance issues in the delivery of public services in the context of development to go beyond the traditional fiscal federalism literature. With this in mind, we review some of the existing theoretical and empirical work, focusing particularly on the question of local accountability.