Eurasian Journal of Business and Economics (May 2024)

Good Governance Measurement using Rotberg's Output-Based Approach for Kyrgyzstan

  • Ailuna SHAMURZAEVA,
  • Taalaigul USONOVA

DOI
https://doi.org/10.17015/ejbe.2024.033.05
Journal volume & issue
Vol. 17, no. 33
pp. 97 – 112

Abstract

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This study evaluates the concept of good governance by comparing traditional input-based measures with a novel output-based methodology. Indices like the Worldwide Governance Indicators (WGI) are widely used for cross-country comparisons but face criticisms for their reliance on input and capacity-based approaches, which may not accurately reflect governance outcomes experienced by citizens. Rotberg (2016) proposed an output-centred method that assesses governance quality through tangible political goods provisions, utilizing a bottom-up approach. This research applies Rotberg’s methodology to measure good governance in Kyrgyzstan using data on 36 indexes over a period from 1991 to 2019. Missing values were imputed using Principal Component Analysis. Comparative analysis of Rotberg’s index with the WGI reveals divergent trends, explained by differences in methodology and underlying data. The research findings highlight the need for the design of a rigorous methodology for the computation of the output-based good governance index for developing countries. Addressing the identified issues will facilitate the widespread adoption and refinement of this alternative measure, fostering better governance practices worldwide.

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