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Notes

  • 1. Three sub-national government levels exist in Peru: regional governments (23), provincial municipalities (169), and district municipalities (1833).
  • 2. Of course, PB is just one of several mechanisms that may enhance accountability for public services at the local level. Other mechanisms, more geared toward accountability for service quality, include participation of user representatives in the board of service companies, and monitoring of service quality by consumer protection groups.
  • 3. The Word Bank (2011) results on investment composition were based on the analysis of all sub-national governments (638) with available information on PB in the year 2007, comparing municipalities with low and high PB intensity. However, these results are based on only one-year observations and without a control group.
  • 4. Ley Marco del Presupuesto Participativo. Capitulo I: Disposiciones Generales.
  • 5. World Bank (2011), p. 3.
  • 6. This percentage is estimated using our calculations and corresponds only to the sample used in this study.
  • 7. Article 6 of the implementing regulation states that authorities responsible for the budget report the percentage of the government entity’s investment budget that corresponds to the PB (D.S. 142-2009-EF, Ley Marco del Presupuesto Participativo).
  • 8. The Technical Team consists of professionals and technicians from the regional and local governments, and professionals from civil society experienced in planning and budgeting who were hired as consultants.
  • 9. This is exceptional, but, for instance, Cerro Verde Mining Company has invested 300 million soles in the Water Treatment Plant for Arequipa region.
  • 10. All the investment taken into account comes from the local level because our database does not include information for the regional and national levels.
  • 11. For a further discussion on the identification strategy, issues of exogeneity, and other technical details, see Jaramillo and Alcazar (2013).
  • 12. For details on the sources and construction of database and characteristics of the qualitative information, see Jaramillo and Alcazar (2013).
  • 13. Wright (2011) presents evidence from Peruvian municipalities of “particularistic exchanges” driving the political process.
 
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