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• Disadvantage:
• →Capture by local elite
4
From the fields (1)
• “Decentralisation in Karnataka
yielded paradoxical results. The
number of people involved in
corrupt acts increased
significantly. But the overall
amount of money stolen almost
certainly decreased - at least
modestly” (Richard and Manor 5
1998: 61)
From the fields (2)
• “A further step in democratization seems
to have taken place with the reformation
of gram panchayat in 1993 with the 73rd
Amendment to the Constitution ・・・ The
reformation of panchayat system in 1993,
together with the decline of factional
politics after liberalization policy, made
the gram panchayat meeting a more
democratic place in terms of
representation and functioning.” (Tanabe
2004) 6
This paper’s approach
8
Section 2 Institutional Context
1993 1999
variable NOB Average SD Min Max NOB Average SD Min Max
irdpdmy: IRDP=1 68923 0.05 0.21 0.00 1.00 71252 0.06 0.23 0.00 1.00
pwdummy: public works=1 69301 0.04 0.19 0.00 1.00 71099 0.03 0.18 0.00 1.00
pwirdp: poverty alleviation programs(IRDP or
public works)=1 69301 0.09 0.28 0.00 1.00 70959 0.08 0.28 0.00 1.00
illiteracy: illiterate=1 69219 0.48 0.50 0.00 1.00 71413 0.46 0.50 0.00 1.00
hohsex2: female headed household=1 69225 0.09 0.29 0.00 1.00 71466 0.10 0.30 0.00 1.00
anyownld1: landed=1 69230 0.95 0.23 0.00 1.00 71146 0.93 0.25 0.00 1.00
religion2: Muslim=1 69230 0.09 0.28 0.00 1.00 71392 0.11 0.31 0.00 1.00
sgrp1: ST=1 69230 0.13 0.34 0.00 1.00 71349 0.14 0.35 0.00 1.00
sgrp2: SC=1 69230 0.18 0.38 0.00 1.00 71349 0.18 0.38 0.00 1.00
hhtype2: agricultural labour household=1 69230 0.24 0.43 0.00 1.00 71327 0.26 0.44 0.00 1.00
hhtype4: agricultural self employment
household=1 69230 0.43 0.50 0.00 1.00 71327 0.38 0.49 0.00 1.00
agehoh: age of the head of household 69230 44.59 13.72 0.00 99.00 71461 45.27 13.91 0.00 99.00
numbadu: number of adult person per household 69230 3.28 1.76 0.00 45.00 71466 3.37 1.83 1.00 39.00
pcgini: Gini coefficient of own land 68773 0.69 0.08 0.41 0.95 70968 0.71 0.09 0.41 0.93
voter turnout: voter turnout ratio 67952 0.57 0.12 0.22 0.85 70968 0.61 0.09 0.34 0.82
effnphd2: two party competitiveness index 67952 1.52 2.16 0.00 9.05 70968 0.87 1.52 0.00 15.98
15
4.2 Estimation strategy (1)
• To find the characteristics of the
beneficiaries and to examine the influences
of the socio political environments.
• →estimating the Probit model for 1993 as
before decentralization and 1999 as after
decentralization.
• →investigating the estimated coefficients.
• →comparing the results of 1993 and 1999.
16
Estimation Equation
17
Table 2 Basic Probit Model
• Difference-in-Difference Approach
• Madhya Pradesh as ’treatment
group.’
• Karnataka, Kerala, and West Bengal
as ’control group.’
22
Why is MP treatment group?
• ’Article 243 G of the Constitution empowered
the state legislatures to give panchayats so
much power as to make them the institutions
of self-government with powers to prepare
plans for economic development and social
justice including the subjects listed in the 11th
Schedule of the Constitution. But, with some
exceptions in Kerala, Madhya Pradesh,Tripura
and West Bengal nothing worthwhile has been
devolved to the panchayats’ (Pal 2001) .
23
Why is MP treatment group?
• Before the Amendment, no serious decentralization in
MP. → The 73rd Constitutional Amendment treats MP.
• Chief Minister of MP, Digvijay Singh’s political will.
• The first state to conduct the Panchayats election in
1994 under the provision of the 73rd Constitutional
Amendment.
• Vacancy rate of the representatives of the Panchayats is
quite low.
• Only state to introduce of right to recall the member of
Gram Panchayats.
• The advanced state in preparing the District Planning
Committee and the right to information.
• See the Table 3.
24
Table 3 Progress of the Decentralization at the State Level
28
Table 4 Probit Model of the difference- in- difference approach
32