Rebuilding the social compact: Urban service delivery and property taxes in Pakistan

A significant challenge to the provision of local public services in developing economies is the inability to raise adequate resources, especially through local taxation. In many countries the social compact, whereby citizens agree to pay taxes to fund government services that are credibly and transparently delivered, is broken. This study investigates whether strengthening the link between local tax collection and the provision of urban services can increase citizens’ willingness to pay taxes, which in turn can improve service delivery by revitalising the social compact.

Outputs

  • Publication - Policy Brief

    Rebuilding the social compact: Urban service delivery and property taxes in Pakistan

    If citizens perceive little benefit from their tax payments, or if local services are disconnected from local decision-making, the social compact between citizen and state can be broken, thus creating a vicious cycle of low quality services, low levels of local tax revenue, and lack of trust in the state. This study, conducted with neighbourhoods in two of the...

    26 Jan 2022 | Mahvish Shaukat, Benjamin Olken, Adnan Khan

  • Publication - Project Report

    Rebuilding the social compact: Urban service delivery and property taxes in Pakistan

    This impact evaluation investigates whether strengthening the link between local taxation and urban services can revitalise the social compact between citizen and state. A significant challenge to the provision of local public services in developing economies is the inability to raise adequate resources, especially through local taxation. In many countries, the social...

    12 Oct 2022 | Adnan Khan, Asim Khwaja, Benjamin Olken, Mahvish Shaukat