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Public good or public bad? Indigenous institutions and the demand for public goods

Author

Listed:
  • Elizalde, Aldo
  • Hidalgo, Eduardo
  • Salgado, Nayeli
Abstract
This paper argues that the underprovision of public goods can be partly explained by lower demand from Indigenous groups with high preferences for Indigenous identity and a high capacity for coordination. Examining the post-Mexican Revolution period (1920s-1950s), when the state used the first road network for nation-building, our diff-in-diff analysis shows that pre-colonial political centralisation is associated with less road infrastructure. This is attributed to stronger capacity for collective action and stronger Indigenous identity preferences. Finally, we show that poor road infrastructure today is linked to lower economic performance.

Suggested Citation

  • Elizalde, Aldo & Hidalgo, Eduardo & Salgado, Nayeli, 2023. "Public good or public bad? Indigenous institutions and the demand for public goods," QUCEH Working Paper Series 23-01, Queen's University Belfast, Queen's University Centre for Economic History.
    • Handle: RePEc:zbw:qucehw:202301
    as

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    References listed on IDEAS

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    More about this item

    Keywords

    Indigenous institutions; public good provision; collective action; Indigenous identity;
    All these keywords.

    JEL classification:

    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • H79 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Other
    • N7 - Economic History - - Economic History: Transport, International and Domestic Trade, Energy, and Other Services
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure

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