International Studies of Economics (Sep 2023)

Local officials' political capital and poverty alleviation

  • Shubin Wang,
  • Qiang Li,
  • Yan Gu

DOI
https://doi.org/10.1002/ise3.46
Journal volume & issue
Vol. 18, no. 3
pp. 351 – 369

Abstract

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Abstract This study examined the effect of local officials' political capital on poverty alleviation by using a manually compiled database of county party secretaries (CPSs) in impoverished counties in China. The empirical results reveal that CPSs with political capital positively affect poverty alleviation. Mechanism tests indicated that CPSs with political capital contribute to greater agricultural and financial development, attract more enterprise investment, and increase fiscal expenditure. The promotional effect of local officials' political capital on poverty alleviation was influenced by CPSs' characteristics (e.g., tenure, education level, and age) and was less pronounced during central government inspection and when the provincial government was less concerned about local officials' poverty alleviation. Our results suggest that local officials' political capital can alleviate poverty in emerging economies.

Keywords