Audits and the Quality of Government

Produced by: 
Universidad de San Andrés
Available from: 
June 2020
Paper author(s): 
Maximiliano Lauletta
Martín A. Rossi
Christian A. Ruzzier
Politics and Economy

We exploit the well-documented random assignment of Brazilian municipalities to an audit program to explore the link between audits and the quality of government. We find that audited municipalities employ less labor to provide a given level of public services, and change the way in which they screen their employees—relying less on discretion and more on merit. These improvements in bureaucratic efficiency and professionalization imply an increase in the quality of municipal governments.


Research section: 
Latest Research
Share this