How corruption shapes the relationship between democracy and electrification

Abstract

One of the central questions in research on the drivers behind public good provision is how political regimes and institutions impact the provision of public goods. Previous research within this field has shown that democratic history is positively related to public good provision, including the universal provision of reliable electricity. In this paper, we elaborate on these findings by investigating how corruption interacts with democratic history in shaping electricity provision. It is argued that since corruption can shape the implementation process of public policies as well as the policy choices, high levels of corruption are likely to limit the positive effect of democratic experience. Following Min (2015), we measure electricity provision by the share of population living in unlit areas. We find that democratic history leads to higher electrification rates only when corruption is relatively low. In high-corrupt contexts, however, the positive effect of democratic history is absent.