Public Administration Reform and Rural Service Provision A Comparison of India and China
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Public Administration Reform and Rural Service ProvisionA Comparison of India and China
Regina Birner
Development Strategy and Governance Division
IFPRI
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Role of the Public Administration
• Plays an important role for economic development• Strong and independent public administration
one of the key characteristics of the “developmental state”
“Asian growth miracles” – all have a strong public administration
• Nevertheless:Public administration often considered as a “black box”Largely neglected in studies of agricultural development
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Role of the Public Administration for Agricultural and Rural Development
• Providing basic services and infrastructure in rural areas• Water supply, health, education, transport
• Providing a legal and regulatory framework for agriculture• Land administration, contract law, cooperative law, food safety
and environmental standards, etc.• Helping to resolve market failures in agricultural development
• Agricultural research, extension and training• Agricultural credit and insurance
• Providing agricultural infrastructure • e.g., irrigation
Question addressed in this presentation:How can reforms of the public administration contribute to
better rural service provision?
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Outline
1) Introduction
2) Conceptual Framework
3) International Paradigms in Administration Reform
4) Public Administration Reforms in India and China
5) The Case of Agricultural Advisory Services
6) Conclusions
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Rural services and infrastructure
Agricultural research and extension
Drinking water
Health and education
Irrigation
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Conceptual Framework
OutcomesSustainable
pro-poor development
Other factors
OPerformance of rural service provision* Priorities* Quality * Efficiency* Equity* Sustainability
PAbility of citizens to demand and supervise services
D
Capacity of administration to finance and supply services
S
good fitCharacteristics of service providers
A
Measures to improve capacity for service
delivery(e.g., staff, qualification, incentives, outsourcing)
MS
good fit
Measures to improve voice and
accountability in service delivery
MD
Characteristics of local communities
good fitL
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Changing Paradigms on the Role of the Public Administration
• 1950s to 1970s
• Paradigm: State intervention required for development
• Expanding the range of state functions administration
• Example: Large-scale rural development programs
• 1980s to 1990s
• Paradigm: Structural adjustment – “Getting prices right”
• Down-sizing public administration
• New Public Management (NPM) approach
• 1990 to 2000s
• Paradigm: “Getting institutions right”
• Building state capacity, promoting good governance
• From “one-size-fits-all” to “good fit”; enabling state
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International Trends in Administration Reform
Adapted from Fukuyama, 2004
Strengthof state(Capacity, effectiveness of public administration)
Scope of the state (Range of functions)
AB
CExpansion of functions
“Neo-patrimonial downward spiral”
1960s-1980s
DStructural adjustment 1980s/1990sE
Building state capacity
F
Addressing market failures
Demand-side approaches
Supply-side approachesof reform
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Public Administration Reform in China
• Supply-side approaches• Far-reaching reforms in 1993 and 1998
• Reduction of state functions (280 functions abolished)
• Reduction of administrative staff
• Central/provincial level: 50 %, local level: 20 %
• Increasing qualification of staff, more service-orientation
• Division of administrative functions, delegation
• E-government
• Demand-side approaches• Fiscal decentralization, starting in 1980s
• Introduction of village committees and village electionsImproved rural service provision (Zhang et al., 2004)
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Public Administration Reform in India
• Supply-side approaches• Department of Administrative Reform since 1964• Numerous Commissions and Committees• Resistance against change by elite services as well as labor
unions• Differences among states in implementation• Strong e-government initiative
• Demand-side approaches• Constitutional Amendments in 1992 started far-reaching political,
fiscal and administrative decentralization• Considerable variation in implementation• Effects on service provision differ among states
• Affirmative policies (reservation of seats)• Transparency: Right to Information Act, social audits, etc.• Civil society initiatives: Citizen report cards, etc.
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Governance Performance Indicators- based on surveys among businesses & citizens -
Kaufmann et al., 2005
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Governance Performance Indicators
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Change over time: Government Effectiveness
China
India
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Change over time: Control of Corruption
China
India
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Change over time:Regulatory Quality
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Change over time:Voice and Accountability
China
India
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Effects of General Administrative Reform
• Difficult to assess from aggregate indicators!
• Reforms may have been effective in reducing deterioration of service provision?
• Reforms may have contributed to saving financial resources?
• Need to learn more from reform experience!
• Empirical research needed that looks inside the “black box” of public administration
• Surveys among members of the public administration
• Analyzing benefits and costs – including transaction costs - of reform
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The Case of Agricultural Extension:Similarities between India and China
• Capable public sector agricultural extension was essential for Green Revolution
• During the 1990s, public sector agricultural extension systems deteriorated• Qualification and morale of staff declined• Lack of operational resources
• Variety of alternative approaches emerged• Commercialization, contracting-out• Farmers’ organizations providing extension
• Renewed political interest in revitalizing extension• Related to increased attention to agriculture in view of
rural distress
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Agricultural Extension: Differences between China and India
• Decentralization:• China: Complete decentralization of extension in 1993
Mixed results• Lack of political priority – non-extension tasks
• India: Implementation of decentralization left to states Limited implementation in most states
• Institutional Innovations:• China: Various forms of contracting
Demand-driven services (e.g., “share” contract)• India: Agricultural Technology Management Agency
Autonomous agency with farmer representation
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Extension reform policies
• Reform suggestions for China (Project Study Group, Research Center for Rural Economy)
• Far-reaching reduction of extension personnel
• Concentration on core functions
• Outsourcing and commercialization, competition
• Farmers’ associations, cooperatives and village cadres should have say in extension management
• Reform suggestions for India
(Policy Framework by Ministry of Agriculture)
• Role of public extension for poor farmers acknowledged
• Outsourcing, competition and privatization where possible
• Demand-side approaches, following the ATMA model
• Focus on mainstreaming of women
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Conclusions
• Public sector management reforms in India and China followed general trends - with important variations.
• Demand-side measures easier to apply in democratic systems than in one-party regimes; however, China did introduce village-level elections.
• Supply-side measures that involve large-scale restructuring or reduction of personnel are difficult to implement in democracies.
• More research is needed to provide empirical evidence and evaluate different models of reforming rural service provision.• Promote learning different reform experiences!