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Cities in a Globalizing World:
Governance, Performance, and Sustainability
Frannie A. Lautier, editor and authorOther authors: Sverine Dinghem, Daniel Kaufmann,
Andrew Lemer, Massimo Mastruzzi & Barjor Mehta
Presentation of World Bank Institute Book:
We are grateful to the providers of the multiple primary data sources
that we utilized in building the city database which was utilized in the
empirical analysis in various chapters of the book, and particularly tothe World Economic Forum (enterprise survey), the UN Observatory,
the Taylor database, and AT Kearney/Foreign Policy.
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Growth of Cities, 1950-2050
1950
1975
2000
2025
2050WorldMore developed
regions
Less developed
regions
0
1000
2000
3000
4000
5000
6000
7000
8000
9000
10000
Population (millions)
Source: World Population Prospects: The 2000 Revision, vol1, Comprehensive
Tables (United Nations publication, Sales No. E.01.XIII.8 and Corr.1).
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Understanding cities
in a globalizing world
Cities are the birthplace of globalization
Cities are the testing ground forgovernance and democracy
Questions: Does globalization help or hurt cities?
What is the role of governance in city
performance?
What is the impact of city performance on
globalization?
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The Research
Purpose
To test assumptions about globalization and urbanization
To assess policy implications of findings
Scope
Research is exploratory and confirmatory Data limitations make it difficult to draw valid conclusionson the impact of globalization on city performance
The paucity of data is a key obstacle to effective policy
design at the national and subnational level
Opportunities for future research
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Research Approach
Confirmatory Analysiswith hypothesis
development and empirical tests Exploratory Analysisusing existing data
bases Case Studiesdeveloping them from
secondary and primary sources
Theoretical Analysisgame theory,
political economy
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Database and Primary Data Sources
Existing and newly collected data and indicators Kaufmann, Leautier, Mastruzzi (KLM) database at the WBI
Primary Data sources used to construct indices and
variables UN Observatory 1998, 4 indicators of access in 80 cities in 60
countries
Firm Level Survey: EOS 2003 of the World Economic Forum, 12governance indicators, 5 service access indicators, in 271 citiesin 101 countries
Taylor database, number of companies with major offices(advertising, accounting, finance) in 261 cities in 114 countries
A.T. Kearney/Foreign Policy. Globalization Index for 62 countries
Mercer 2004 quality of life index in 215 cities
CIA World Fact Book, and Heston-Summers PPP for per capita Y
Internet search for website presence, city population, budget dataand starting a business data (WBI)
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Globalization of City Infrastructure:Local, Networked, and Global Services?
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Globalization of City Infrastructure
Infrastructure networks are the foundations
for urban globalization
Infrastructure plant and service are mainly local, butdemands are increasingly global
Vulnerability and security heighten some old conflicts
Individual preferences vs. collective interests Meeting immediate demands vs. serving future generations
Maintenance for daily use vs. maintenance for more security
Globalized infrastructure requires new institutions tomanage the interface between local and global interests
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Local-Global conflict
requires new institutions . . .
For example:
Overton Park, Memphis TN 1956: citizens block the construction of
a highway linking Memphis to other cities to preserve a local park
Jamuna Bridge, Bangladesh 1994-1998: locating project-affected
people in a land-scarce country and handling environmental
problems of river-training to construct bridge linking cities in the NWregion to Dhaka and linking Bangladesh to trade in India
Chad-Cameroon Pipeline, 2003: extensive local and international
consultation for environmental and social protection including offuture generations for an international financed and owned pipeline
New institutions, operating at the community, local, national, regional and global
levels, have to respond to preferences of various stakeholders and respect the
hierarchy of interests.
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Assessing institutional performance?
The approach Exploration of globalization and city performance
Construct worldwide database for more than 400 cities Measure globalization at both country and city level
Examine city governance and city performancejointly and separately
Definition of urban governance the processes that steer and take into account the links among
stakeholderslocal authorities, citizens, firmsto favor activeparticipation and negotiation among actors, transparent decision-
making mechanisms, and innovation in urban managementpolicies
Defining city governance and globalization as outcomesthat are visible to citizens allows empirical tests of thecity as a place or as an enduring performance
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City Performance Profiles:
Economic Performance of Cities, 1993
4032Informal employment (percent)
3772,066
Average per capita income (Q3/person
in US$)
1,1753,818City product per capita (1993
US$/year/person)
LessglobalizedMore globalized
Cities in countries that are
Indicator
Source: UNCHS 1998, Global Urban Indicators.
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City Performance Profiles:
Residential Density, Growth Rates, and Household Size, 1993
53Average household size (persons)
32Annual population growth rates
(percent)
25296Residential density (persons / ha)
Less globalizedMore globalized
Cities in countries that are
Indicator
City Performance Profiles: Equity in Cities, 1993
127Income disparity (Q5/Q1)
2726Households below poverty line
(percent)
Less globalizedMoreglobalized
Cities in countries that are
Indicator
Source: UNCHS 1998, Global Urban Indicators.
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City Performance Profiles:
Transportation, 1993
132Other (% of total to work trips)
2224On foot (% of total to work trips)
711Bicycle (% of total to work trips)124Motorcycle (% of total to work trips)
3723Bus /mini bus (% of total to work
trips)
714Train /tram (% of total to work trips)
1025Private car (% of total to work trips)
Modes of travel to work3530Mean travel time to work (minutes)
Less globalizedMore globalized
Cities in countries that are
Indicator
Note: Percentages do not add to 100 due to rounding.
Source: UNCHS 1998, Global Urban Indicators.
Better balance between pedestrian and
motorized forms of travel in more globalized
cities
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Urban Local Government Revenue and Capital Expenditure, 1993
3821
Wages in the local
government budget
(%)
22104
Local government
capital expenditure per
capita (1993 US$ /
year / person)
115266
Local governmentrevenue per capita
(1993 US$ / year /
person)
Less
globalized
More
globalized
Cities in countries that
areIndicator
Source: UNCHS 1998, Global Urban Indicators.
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City Performance Profiles:What happened in Africa?
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City Performance Profiles:
The Special Case of Africa Tremendous growth of urbanization in developing countries
Differential performance of cities: Economic performance (production, jobs, income)
Residential density, growth, household size
Equity
Access to services(transport, waste management, health and education)
City government performance
(revenues, expenditures, wages) Safety and security (urban crime)
African cities perform well below their counterparts in the developing world,yet post the highest growth among urban populations
Special dilemma of Africa: urbanization without globalization
high urban growth not accompanied by the corresponding rapid economic growth
Possible to test hypotheses in Africasince there is high urbanization withlow globalizationrelating to locus of policy decisions with respect to cities
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City-Level Performance Across Regions
112334404262Children per primaryclassroom
0.80.455812Child mortality (percentof children< 5 yrs.)
Health and education in
cities
648718265415Waste water treated
(percent of generated
waste water)
919985676536
Regular wastecollection
(from percent of city
households)
City waste management
services
Transitioneconomies
Industrial
izedcountries
LatinAmericaAsiaPacificArabstatesAfrica
Indicator
Source: UNCHS 1998; Foreign Policy 2003.
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City-Level Performance Across Regions
2,96222,92622508622,095682City product per capita(1993
US$/year/person)
Economic
performance of cities
7711331002343210
Local government
capital exp. per capita(1993 US$/year/person)
2372763252245168215Local government
revenue per capita
(1993 US$/year/person)
City government revenue, capital expenditure and wages
Transition
economies
Industrial
ized
countries
Latin
America
Asia
Pacific
Arab
statesAfrica
Indicator
Source: UNCHS 1998; Foreign Policy2003.
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City Performance for Three African Countries
by Level of Globalization: The Role of Governance?
1002899Solid waste disposed in open dump
(percent of total disposed waste)
0.80.595Waste water treated
(percent of generated waste water)
n.a.3198Regular waste collection
(from percent of city households)
0.170.200.01Solid waste generated per capita
(tons / year / person)
285320Mean travel time to work (minutes)
n.a.1.10.5Thefts (per 1,000 city population)
n.a.0.020.007Murders (per 1,000 city population)
8.15.53.5Average household size (persons)
4.74.48.4City population growth rates
(percent/year)
SenegalNigeriaBotswana
413733Indicator
Source: UNCHS 1998, Global Urban Indicators; Foreign Policy
2003.
Botswana
outperforms
Nigeria andSenegal, both
at higher levels
of globalization,
in access tolocal and
networked
services,
security/safety,and other city
characteristics
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62057594City product per capita
(1993 US$/year/person
244143
Wages in the local
government budget (percent)
2.20.9181
Local government capital
exp. per capita
(1993 US$/year/person)
93250
Local government revenue
per capita
(1993 US$/year/person)
SenegalNigeriaBotswana
413733Indicator
City Performance for Three African Countries
by Level of Globalization: The Role of Governance?
Botswana
outperforms
Nigeria and
Senegal both at
higher levels of
globalization in
terms of local
government
and economic
performance at
the city level
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Globalization and City Governance:Dynamic interactions between the
mayor, citizens, and firms?
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How do these outcomes come about?
Figure 1
Exit
Exit Locate
Exit
Ignore Satisfy
Influence
Ignore
Exit Locate
Loyal
Ignore Satisfy
Influence
Satisfy
Loyal
Exit Locate
Exit
Ignore Satisfy
Influence
Ignore
Exit Locate
Loyal
Ignore Satisfy
Influence
Satisfy
Voice
Citizen's Choice
1 2
3
4
5 6
7
8
9 10
11
12
13 14
15
16
0 Mayor
Firm Mayor
Citizen
Citizen
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Citizens Choice
Exit
Ignore Satisfy
Loyal
Ignore Satisfy
Voice
Citizen's Choice
Citizens care about quality of life
Mayor influences quality of life and control of corruption
Firms influence globalization
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Firms Options in light of Passive Citizens:
Does it lead to bad governance?
Exit Locate Influence
Ignore
Loyal
Citizen's Choice
5 6 7
Citizens care about quality of life
Mayor influences quality of life and control of corruption
Firms influence globalization
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Firms Options from Voice:
Does it lead to good governance?
Exit Locate Influence
Ignore
Voice
Citizen's Choice
8 9 10
Citizens care about quality of life
Mayor influences quality of life and control of corruptionFirms influence globalization
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R2 = 0.3479
90
100
110
120
1 2 3 4
Control of Corruption
QualityofLife
Poor Control Good Control
Source: Control of Corruption: KK04, 56 Quality of life: Mercer 2004, 56 cities. Mercers survey provides an
evaluation quality of life in 215 cities. We have used the cities with the top 50 ranking in quality of life to catch
the maximum effect of the corruption variable. The Mercer study is based on detailed assessments and
evaluations of 39 key quality of life determinants, grouped in the following categories: political and social
Environment; Economic environment; Socio-cultural environment; Medical and health considerations; Schools
And Education; Public services and transportation; Recreation; Consumer goods; Housing; and Natural
Environment. Quality of Life Index: New York City=100 (Highest: Zurich, Lowest: Brazzaville).
Quality of Life and Control of Corruption both matter
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R2 = 0.1344
10
30
50
70
90
110
90 100 110 120
Quality of Life
CityGlobalization
Poor Quality Good Quality
Source: Control of Corruption: KK04, 56 cities. Globaliization data taken from Taylor 2001. Globalization is
defined as the number of international firms located in the citty. 46 'global' advanced producer service firms
over 55 world cities. Global firms are defined by having offices in at least 15 different cities. The analysis is
Done using the cities in the top 50 of the quality of life ranking according to Mercer 2004. An analysis done
Using 261 cities from the Kaufmann-Leautier-Mastruzzi database indicates that when more cities are includedThe regression line is positive and significant, with good governance contributing to more globalization.
City Globalization and Quality of Life both matter
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Globalization, Technology, and Scale:How do they interact?
Patterns from History:
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30
400
1,000
450
900 1,100
23,000
10,000
y = -362.5x3 + 4870.8x2 - 16406x + 14071
R2 = 0.5562
-5,000
0
5,000
10,000
15,000
20,000
25,000
0
500
1000
1500
2000
2500
195BCE 935 1750 1800 1975 2005775
Decline
Growth
City Population (Thousands)
Patterns from History:
Largest City Population in the Last 5,000 Years
Source: Population data taken from Chandler, Tertius. 1987. Four Thousand Years of
Urban Growth: An Historical Census. Lewiston: St. Gourds.
Decline
Year
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City Size and Quality of Life
Source: Mercer Human Resource Consulting 2002 and 200519532013
Number
of cities
64.761.565.569.0
Quality
of Life
(0-100)
Megacities
>5m
Large
cities
1
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City Performance and City Type
Source: UNCHS 1998, EOS-World Economic Forum 2003.
3.03.53.53.3Internet in schools (1-7)
3.33.33.43.2Quality of infrastructure (1-7)
5.75.85.95.7Cell phones (1-7)
87848190Telephone (%)
96178106167# of cities
76737079Electricity (%)
65596264Water (%)
YesNoYesNo
CapitalPort
Access
to service
Port cities have poorer access to services, except for internet, cell
phones, quality of infrastructureall variables linked to globalizationCapital cities have better access to servicesIndication of political
influence?
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City Performance and Technology
Source: UNCHS 1998, EOS-World Economic Forum 2003.
Technology is an enabler of voice but also provides citizens exit optionsfor self-provision (blue vs red cells)
Transparency of information (budget and starting a business) has apositive impact on city performance
6.05.86.15.86.15.7Cell phones (1-7)
3.53.33.43.33.43.3Internet in schools (1-7)
937491757675Electricity (%)
958699869384Telephone (%)
3.53.33.53.33.43.3Quality of infrastructure (1-7)
12256626258210# of cities
906292636862Water (%)
YesNoYesNoYesNo
Start-a-business
info on site
Budgeton siteWebsiteAccessto service
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Some Observations
Cities play an important role in shaping global decisions(trade, diplomacy, culture, governance).
City performance is trackable over long periods.
Technology and globalization are intensively interlinked:
Advances in technology influence not only globalization, but alsogovernance.
Good performance has little to do with city size, but goodgovernance is more often obtained in large cities.
Modeling interactions between mayors, citizens, and firms canprovides insights on the types of policies that are critical forgood city management.
Africa has a particular pattern of urbanization andglobalization, and the lessons point to key areas for attention.
Data weaknesses prevent us from making firmer conclusionsthat could inform better policies.
Policy Implications:
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Policy Implications:
Skills and Institutions
Build the skills that city managers need to bettermanage the opportunities of globalization.
Different skills are required for port cities and capitalcities.
The donor community should work with citygovernments and intercity networks andpartnerships to support their globalization and
governance efforts.
Countries and international institutions shoulddevelop new institutions that can operate atlocal, regional, national, and multinational levels.
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Policy Implications: Africa
Africa should continue in its process ofdecentralization, which has the potential ofyielding the benefits of both globalization andurbanization.
Coastal and larger cities should start to play amore global or regional rather than a national
role in order to tap into urbanization. Train city managers in Africa to better balance
the tension between offering services that can
make their cities attractive to foreign investment,while continuing to serve the needs of theirgrowing populations and regional economies.
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Globalization and City Performance:Does governance play a role?
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Globalization and city performance:
The key role of governanceThe approach
Define Globalized City as a place: location with precise boundaries but
plugged into global flows (finance, people, products) Define Globalized city as a sustained achievement of performance
providing services to citizens and firms over time
City mayoras an actor who brings local value to citizens from global
activities Citizens participate in key decision making, and the interests offirms are
balanced with those of citizens by the city mayor= governance in the context of globalization and local interests
The size of a city and the services it provides over time is a test ofsustainability as it interacts with other cities to which it is connected= city performance in the context of globalization
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Poorly governed
local cityII
Poorly governed
global cityIII
Well-governed
global city
IV
Well-governed
local cityI
Qualityofcitygo
vernance
Extent of city globalization
Highperformance
Low
performance
City Governance and Globalization as Determinants
of City Performance
Expected
Worst
Performance
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Key Hypotheses
Hypothesis 1: Governance matters A city can be well-performing whether local or global,
driven by its good governance alone
(quadrants I and IV)
Hypothesis 2: Globalization matters
A global city is better performing than a local city, for a
given quality of governance(quadrants III and IV)
Hypothesis 3: Globalization and governance
interact positively
There is a dynamic virtuous circle which pushes
globalized cities to be better governed and which attracts
further globalization in well-governed cities
T ti th H th
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Testing the Hypotheses Comparison of performance for global and local cities
Global city: multiple offices of major international advertising,accounting, and financial firms in the city
Local city: few such offices
City Performance is measured by access to: Local services (water, sewerage) Networked services (electricity, phone lines)
Globalized services (cell phones, internet)
Governance at country level is measured by: Control of corruption index
Bribery to affect laws
Diversion of public funds
Illegal party financing
Organized crime
Governance at city level is measured by:
Control of corruption Bribery in utility
E t t f Cit Gl b li ti S l t d Citi
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Extent of City Globalization, Selected Cities
Mon
treal
Ottaw
a
Toro
nto
Paris
Zuric
h
New
York
Mad
rid
Barce
lona
Santi
ago
Singa
pore
Buda
pest
Athe
ns
M
exico
City
SaoP
aulo
Mosc
ow
Mum
bai
New
Delhi
Nairo
bi
Lago
s
LevelofC
ityGloba
lization
Y-axis measures (in logs) the sum of offices of accounting, advertising, financial and legal institutions in each city. Drawn
from Taylor 2001. Total Sample: 260 cities.
600
15
Ease of Starting Business Selected Cities
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Ease of Starting Business, Selected Cities
0
20
40
60
80
100
Mon
treal
Ottaw
a
Toro
nto
Paris
Zuric
h
New
York
Mad
rid
Barc
elona
Sant
iago
Singa
pore
Buda
pest
Athe
ns
Bue
nosA
ires
Mex
icoCity
SaoP
aulo
Mos
cow
Mum
bai
New
Delhi
Nairo
bi
Lago
s
Gabo
rone
EaseofS
tartingBu
siness
Source: EOS 2003. Question: Starting a new business in your country is generally difficult / easy. Total Sample: 271 cities.
% Firms Rating Satisfactory (5, 6, 7)
Bribery in Utilities Selected Cities
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Bribery in Utilities, Selected Cities
0
20
40
60
80
100
Mon
treal
Ottaw
a
Toro
nto
Paris
Zuric
h
New
York
Mad
rid
Barce
lona
Santi
ago
Singa
pore
Buda
pest
Athe
ns
M
exico
City
SaoP
aulo
Mosc
ow
Mum
bai
New
Delhi
Nairo
bi
Lago
s
Gabo
rone
BriberyinUtilit
ies
Source: EOS 2003. Question: In your industry, how commonly would you estimate that firms make undocumented extra
payments or bribes connected with Utilities. Total Sample: 271 cities.
% Firms Reporting High Corruption (1, 2, 3)
Variance in Governance across cities within same
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2
3
4
5
6
7
Yaounde Douala Bogota Medellin Vilnius Kaunas Madrid Barcelona
Frequency
ofBribery
Variance in Governance across cities within same
country: Bribery in Procurement as an illustration
Source: author calculations based on EOS firm survey, WEF2003, 271 cities. Question: In your industry, how commonly firms make
undocumented extra payments or bribes connected with awarding of public contracts? (7: very common. 1: never occur)
High
Bribery
Low
SpainColombia LithuaniaCameroon
Quality of Infrastructure Selected Cities
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Quality of Infrastructure, Selected Cities
0
20
40
60
80
100
Mon
treal
Ottaw
a
Toro
nto
Paris
Zuric
h
New
York
Mad
rid
Barce
lona
Santi
ago
Singa
pore
Buda
pest
Athe
ns
M
exico
City
SaoP
aulo
Mosc
ow
Mum
bai
New
Delhi
Nairo
bi
Lago
s
Gabo
rone
Qualityo
fInfrastructure
Source: EOS 2003. Question: General infrastructure in your country is poorly developed / among the worlds best. Total
Sample: 271 cities.
% Firms Rating Satisfactory (5, 6, 7)
Quality of Life Index Selected Cities
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Quality of Life Index, Selected Cities
0
20
40
60
80
100
Mon
trealOt
tawaTo
ronto ParisZurich
New
YorkM
adrid
Barce
lonaSa
ntiago
Singa
pore
Buda
pestAt
hens
Mex
icoCity
SaoP
auloM
oscow
Mum
bai
New
DelhiNa
irobiLagos
QualityofLife
Index
Source: Mercier, 2003. Total Sample: 215 cities. Merciers survey provides an evaluation of quality of life in 215 cities. The
study is based on detailed assessments and evaluations of 39 key quality of life determinants, grouped in the followingcategories: Political and social environment; Economic environment; Socio-cultural environment; Medical and health
considerations; Schools and education; Public services and transportation; Recreation; Consumer goods; Housing, and
Natural environment. Quality of Life Index: New York City = 100 (Highest: Zurich, Lowest: Brazzaville);
Percentile Rank
L l S iL l S i
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Local Services:Local Services:Access to Water, City Governance and GlobalizationAccess to Water, City Governance and Globalization
(Non OECD Sample)(Non OECD Sample)
20%
100%
AccesstoWat
er(%)
Poor Governance Good Governance
Control ofCorruption
Bribery in Utility State Capture Control ofCorruption
Bribery in Utility StateCapture
Local City
Global City
Sources: EOS 2003, UN 1998, KK 2002 & KLM 2004
Networked Services:Networked Services:
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Networked Services:et o ed Se cesAccess to Electricity, City Governance and GlobalizationAccess to Electricity, City Governance and Globalization
(Non OECD Sample(Non OECD Sample))
50%
60%
70%
80%
90%
100%
Ac
cesstoElectricity(%)
Poor GovernanceGood Governance
Control of
Corruption
Bribery in Utility State Capture Control of
Corruption
Bribe ry in Utility State
Capture
Local City
Global City
Sources: EOS 2003, UN 1998, KK 2002 & KLM 2004
Globalized Services:Globalized Services:
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Globalized Services:Globalized Services:Access to Cell Phones, City Governance and GlobalizationAccess to Cell Phones, City Governance and Globalization
((Non OECD Sample)Non OECD Sample)
3
4
5
6
7
AccesstoCell
Phones
Poor Governance
Good Governance
Control of
Corruption
Bribery in Utility State Capture Control of
Corruption
Bribery in Utility State Capture
Local City
Global City
Sources: EOS 2003, KK 2002 & KLM 2004
High
Low
Control of Corruption Matters for Local,
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Control of Corruption Matters for Local,
Networked, and Globalized Infrastructure Services
1.12***
0.98***
1.21***
-0.23
0.93***
0.82***
0.78***
0.04
0.99***
0.97***
0.64***
0.34*
Full City Sample
Global City
Local City
Differential
Control of CorruptionState CaptureBribery in Utility
GLOBALIZED SERVICE:
INTERNET ACCESS AT SCHOOL (1-7)
0.05***0.06**
0.07**
-0.01
0.05**0.06*
0.07*
-0.01
0.05**0.05
0.05*
0.00
Full City SampleGlobal City
Local City
Differential
Control of CorruptionState CaptureBribery in Utility
NETWORKED SERVICE:
ACCESS TO ELECRICITY (%)
0.11***
0.06*
0.15***
-0.09*
0.10***
0.04
0.10**
-0.06
0.11***
0.10*
0.09**
0.01
Full City Sample
Global City
Local City
Differential
Control of CorruptionState CaptureBribery in Utility
LOCAL SERVICE:
ACCESS TO WATER (%)
Significant and large
Globalization and Governance Matter
Si ifi t
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Globalization and Governance Matter
For City Service Performance Delivery
0.450.280.390.110.28Adjusted R-Squared
1941941946163# of cities
++++/***+++/***++++/***+/**+/***Income per
Capita
++++/***+/0++++/***0/*+/**Control of
Corruption
+++/***+/*+/*0/00/Kearney
Globalization
Index
+/00/0+/00/00/0Global City (3)
Quality of
Infrastructure
1-7
Internet
Access
1-7
Access to
Telephone
Lines
1-7
Access to
Electricity
%
Access
to
Water
%
Dependent
Variables
EOS 2003EOS 2003EOS 2003UN 1998UN
1988
Source
Source: Kaufmann-Leautier-Mastruzzi database
Significant
Determinants of Good Governance and Corruption Control:
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Determinants of Good Governance and Corruption Control:
both city and country level globalization matter
0.170.290.210.240.190.210.30Adjusted
R-Square
193193193193193193193# of Cities
++++/***++++/**
*
+++/***-/***++++/**
*
++++/***++++/**
*
Kearney
Globalization Index
Country Variables
++/***++/**++/**-/**+/++/***+/GlobalCity (3)
City Variables
Low Illegal
PartyFinancing
Low
Diversionof public
funds
Low
Bribery toaffect laws
Red Tape
Cost ofImports
Low
StreetCrime
Low
InformalMoney
Laundering
Low
Bribery inUtilities
Dependent
Variables
EOS 2003EOS
2003
EOS
2003
EOS
2003
EOS
2003
EOS 2003EOS
2003
Source
Source: Kaufmann-Leautier-Mastruzzi database, drawing from
EOS-WEF 2003 as well as other sources per below. City level governance indicator = global city
Country level governance indicator = Kearney Index
Policy Implications: Governance
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Policy Implications: Governance
Reforms needed to improve national-levelgovernance: it matters for city-level performance
Donors/IFIs: further monitor & support governance
Local level Governance Matters (incl. bottom-up)-- Reformist city leaders using their policy &
institutional levers -- & working on anticorruption
-- Donors/IFIs: more focus to support city-levelgovernance improvements [& programs]
-- Voice and Transparency at local level:pressurefor good governance; and vs. Local Bosses
-- IT revolution + globalized competition for investments:
for transparency and good governance at city level
Areas for future research
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Areas for future research
Bridge data gaps and further validate initial results:-- Further collection of city level data to complement historical
data; collect comparable cross-city data on globalization &urban governance; expand the 400-city KLM database
-- With expanded & updated database, validate or challenge initialresearch results + shed further light on: i) links betweenglobalization, governance & city performance; ii) complex link
between city-size and performance; iii) characteristics of urbanservices to citizens & their implications for choice; iv) interfacebetween technology and choices on voice, exit, and loyalty
Towards methodology to capture dynamics of urbangovernance over time, (building on the game theoreticalmodel) for explaining Africa city performance
What types of interventions at the local level can be
particularly effective for improving governance?: voice, IT,transparency, media, scorecards, competition
Data for Analysis and informing Policy
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Data for Analysis and informing PolicyAdvise, not for Precise Rankings
Data in this presentation is from a plethora of individual
sources, from WBIs aggregate governance indicators,
as well as enterprise surveys (such as the WEFs EOS),and expert polls. All are subject to a margins of error. It
is not intended for precise comparative rankings across
countries or cities, but instead it is useful for statisticalempirical analysis to draw general insights and
conclusions about policy and institutions, as done in
the book chapters. The indicators do not reflect officialviews on rankings by the World Bank or its Board of
Directors. Errors are responsibility of the authors.