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Good governance is the process of measuring how public institutions conduct public affairs and manage public resources and guarantee the realization of human rights in a manner essentially free of abuse and corruption and with due regard for the rule of law.
Governance Governance is the process of interactions through the laws, norms, power or language of an organized society over a social system ( family, tribe, formal or informal organization, a territory or across territories). It is done by the g ...
is "the process of decision-making and the process by which decisions are implemented (or not implemented)"."What is Good Governance"
UNESCAP, 2009. Accessed April 6, 2021.
Governance in this context can apply to corporate, international, national, or local governance as well as the interactions between other sectors of society. The concept of "good governance" thus emerges as a model to compare ineffective economies or political bodies with viable economies and political bodies. The concept centers on the responsibility of governments and governing bodies to meet the needs of the masses as opposed to select groups in society. Because countries often described as "most successful" are liberal democratic states, concentrated in Europe and the Americas, good governance standards often measure other state institutions against these states.Khan 16 Aid organizations and the authorities of developed countries often will focus the meaning of "good governance" to a set of requirements that conform to the organization's agenda, making "good governance" imply many different things in many different contexts.Agere 1


In politics

Good governance in the context of countries is a broad term, and in that regards, it is difficult to find a unique definition. According to Fukuyama (2013), there are two dimensions to qualify governance as good or bad: the capacity of the state and the bureaucracy's autonomy. They both complement, in the sense that when the state is more capable, for instance through the collection of taxes, there should be more autonomy because the bureaucrats are able to conduct things well without being instructed with a lot of details. In less capable states, however, less discretion and more rules setting are desirable. Another way to think about good governance is through outcomes. Since governments carry out with goals like the provision of public goods to its citizens, there is no better way to think about good governance other than through deliverables, which are precisely the one demanded by citizens, like security, health, education, water, the enforcement of contracts, protection to property, protection to the environment and their ability to vote and get paid fair wages. Similarly, good governance might be approximated with provision of public services in an efficient manner, higher participation given to certain groups in the population like the poor and the minorities, the guarantee that citizens have the opportunity of checks and balances on the government, the establishment and enforcement of norms for the protection of the citizens and their property and the existence of independent judiciary systems. Lawson (2011) in his review of Rothstein's book "The quality of government: corruption, social trust, and inequality in international perspective" mentions that the author relates good governance to the concept of impartiality, which is basically when the bureaucrats perform their tasks following the public interest rather than their self-interest. Lawson differs with him in that this impartial application of law ignores important factors like the economic liberalism, which matters due to its relation with economic growth. According to
Bo Rothstein Bo Abraham Mendel Rothstein (born 12 June 1954) is a Swedish political scientist. He is a former Professor of Government and Public Policy at University of Oxford's Blavatnik School of Government. Rothstein is a contributor to Swedish public ...
and Jan Teorell, the key characteristic of good governance is the impartiality of government institutions.


In business

In corporate affairs, good governance can be observed in any of the following relationships: * between governance and corporate management * between governance and employee standards * between governance and corruption in the workplace The meaning of good governance in regards to corporate sectors varies between actors. Legislation has been enacted in an attempt to influence good governance in corporate affairs. In the United States, the
Sarbanes–Oxley Act The Sarbanes–Oxley Act of 2002 is a United States federal law that mandates certain practices in financial record keeping and reporting for corporations. The act, (), also known as the "Public Company Accounting Reform and Investor Protect ...
of 2002 set up requirements for businesses to follow.
Whistleblowing A whistleblower (also written as whistle-blower or whistle blower) is a person, often an employee, who reveals information about activity within a private or public organization that is deemed illegal, immoral, illicit, unsafe or fraudulent. Whi ...
has also been widely used by corporations to expose corruption and fraudulent activity.


Reform and standards

Three institutions can be reformed to promote good governance: the state, the
private sector The private sector is the part of the economy, sometimes referred to as the citizen sector, which is owned by private groups, usually as a means of establishment for profit or non profit, rather than being owned by the government. Employment The ...
and civil society. However, among different cultures, the need and demand for reform can vary depending on the priorities of that country's society.Agere 11 A variety of country level initiatives and international movements put emphasis on various types of governance reform. Each movement for reform establishes criteria for what they consider good governance based on their own needs and agendas. The following are examples of good governance standards for prominent organizations in the international community.


United Nations

The
United Nations The United Nations (UN) is an intergovernmental organization whose stated purposes are to maintain international peace and security, develop friendly relations among nations, achieve international cooperation, and be a centre for harmoni ...
(UN) is playing an increasing role in good governance. According to former UN Secretary-General Kofi Annan, "Good governance is ensuring respect for human rights and the rule of law; strengthening democracy; promoting transparency and capacity in public administration." To implement this, the UN follows eight principles: * Participation – People should be able to voice their own opinions through legitimate immediate organizations or representatives. * Rule of Law – Legal framework should be enforced impartially, especially on human right laws. * Consensus Oriented – Mediates differing interests to meet the broad consensus on the best interests of a community. * Equity and Inclusiveness – People should have opportunities to improve or maintain their well-being. * Effectiveness and Efficiency – Processes and institutions should be able to produce results that meet the needs of their community while making the best of their resources. * Accountability – Governmental institutions, private sectors, and civil society organizations should be held accountable to the public and institutional stakeholders. * Transparency – Information should be accessible to the public and should be understandable and monitored. * Responsiveness – Institutions and processes should serve all stakeholders.


International Monetary Fund

The
International Monetary Fund The International Monetary Fund (IMF) is a major financial agency of the United Nations, and an international financial institution, headquartered in Washington, D.C., consisting of 190 countries. Its stated mission is "working to foster glo ...
(IMF) was created at a United Nations (UN) conference in Bretton Woods, New Hampshire. In 1996, the IMF declared "promoting good governance in all its aspects, including by ensuring the rule of law, improving the efficiency and accountability of the public sector, and tackling corruption, as essential elements of a framework within which economies can prosper". The IMF feels that corruption within economies is caused by the ineffective governance of the economy, either too much regulation or too little regulation. To receive loans from the IMF, countries must have certain good governance policies, as determined by the IMF, in place.


World Bank

The World Bank introduced the concept in its 1992 report entitled "Governance and Development". According to the document, good governance is an essential complement to sound economic policies and is central to creating and sustaining an environment which fosters strong and equitable development. For the World Bank, good governance consists of the following components: capacity and efficiency in public sector management, accountability, legal framework for development, and information and transparency. The
Worldwide Governance Indicators Based on a long-standing research program of the World Bank, the Worldwide Governance Indicators capture six key dimensions of governance (Voice & Accountability, Political Stability and Lack of Violence, Government Effectiveness, Regulatory Q ...
is a program funded by the World Bank to measure the quality of governance of over 200 countries. It uses six dimensions of governance for their measurements, Voice & Accountability, Political Stability and Lack of Violence,
Government A government is the system or group of people governing an organized community, generally a state. In the case of its broad associative definition, government normally consists of legislature, executive, and judiciary. Government i ...
Effectiveness, Regulatory Quality, Rule of Law, and Control of Corruption. They have been studying countries since 1996.Kaufmann, Daniel and Kraay, Aart
"Growth Without Governance"
(November 2002). World Bank Policy Research Working Paper No. 2928.


Effects


International humanitarian funding

Good governance defines an ideal that is difficult to achieve in full, though it is something development supporters consider donating to causes.Agere 2 Major donors and international financial institutions, like the
International Monetary Fund The International Monetary Fund (IMF) is a major financial agency of the United Nations, and an international financial institution, headquartered in Washington, D.C., consisting of 190 countries. Its stated mission is "working to foster glo ...
(IMF) or World Bank, are basing their aid and loans on the condition that the recipient undertakes reforms ensuring good governance. This is mostly due to the close link between poor governance and corruption.


Democratization

Because concepts such as civil society,
decentralisation Decentralization or decentralisation is the process by which the activities of an organization, particularly those regarding planning and decision making, are distributed or delegated away from a central, authoritative location or group. Conce ...
, peaceful conflict management and accountability are often used when defining the concept of good governance, the definition of good governance promotes many ideas that closely align with effective
democratic governance Democracy (From grc, δημοκρατία, dēmokratía, ''dēmos'' 'people' and ''kratos'' 'rule') is a form of government in which the people have the authority to deliberate and decide legislation ("direct democracy"), or to choose gove ...
.Agere 10 Not surprisingly, emphasis on good governance can sometimes be equated with promoting democratic government. However, a 2011 literature review analyzing the link between democracy and development by Alina Rocha Menocal of the Overseas Development Institute stresses the inconclusiveness of evidence on this relationship.


Example

A good example of this close association, for some actors, between western democratic governance and the concept of good governance is the following statement made by U.S. Secretary of State
Hillary Clinton Hillary Diane Rodham Clinton ( Rodham; born October 26, 1947) is an American politician, diplomat, and former lawyer who served as the 67th United States Secretary of State for President Barack Obama from 2009 to 2013, as a United States sen ...
in
Nigeria Nigeria ( ), , ig, Naìjíríyà, yo, Nàìjíríà, pcm, Naijá , ff, Naajeeriya, kcg, Naijeriya officially the Federal Republic of Nigeria, is a country in West Africa. It is situated between the Sahel to the north and the Gulf o ...
on August 12, 2009:


Scholarly approaches

Nayef Al-Rodhan, in his 2009 book ''Sustainable History and the Dignity of Man: A Philosophy of History and Civilisational Triumph'', proposed eight minimum criteria for ensuring good national governance. Al-Rodhan's eight minimum criteria are: 1) participation, equity, and inclusiveness, 2) rule of law, 3)
separation of powers Separation of powers refers to the division of a state's government into branches, each with separate, independent powers and responsibilities, so that the powers of one branch are not in conflict with those of the other branches. The typi ...
, 4) free, independent, and responsible media, 5) government legitimacy, 6) accountability, 7) transparency, and 8) limiting the distorting effect of money in politics. In the book, he argues that good national governance is an important component in creating a history of sustainability for the human race. For Al-Rodhan, the eight minimal criteria of good governance are expressions of the fundamental values of
democracy Democracy (From grc, δημοκρατία, dēmokratía, ''dēmos'' 'people' and ''kratos'' 'rule') is a form of government in which the people have the authority to deliberate and decide legislation (" direct democracy"), or to choose g ...
and more liberal constitutionalism. The
Tuskegee Study The Tuskegee Study of Untreated Syphilis in the Negro Male (informally referred to as the Tuskegee Experiment or Tuskegee Syphilis Study) was a study conducted between 1932 and 1972 by the United States Public Health Service (PHS) and the Cent ...
from 1932 to 1972 led to the signing of the
National Research Act The National Research Act was enacted by the 93rd United States Congress and signed into law by President Richard Nixon on July 12, 1974, after a series of congressional hearings on human-subjects research, directed by Senator Edward Kennedy. The ...
. This law outlined basic ethical ways in which research is to be carried out. The Department of Health, Education, and Welfare (DHEW) made regulations that required voluntary agreements for anyone who was to take part in their studies. Governance is used in scientific studies to ensure that policies are safe and ethical when studies are being done on human subjects. After the
National Research Act The National Research Act was enacted by the 93rd United States Congress and signed into law by President Richard Nixon on July 12, 1974, after a series of congressional hearings on human-subjects research, directed by Senator Edward Kennedy. The ...
there have been other organization put in place such as the Ethics Advisory Board, which reviews biomedical research. Many federal agencies adopted the Federal Policy for Protection of Human Rights in 1991. In 1995 President Bill Clinton established the National Bioethics Advisory Commission led by the Department of Health and Human Services with the task of reviewing regulations and policies to ensure the safety of research volunteers.


Criticism

According to Sam Agere, "The discretionary space left by the lack of a clear well-defined scope for what governance encompasses allows users to choose and set their own parameters."Agere 4 In the book ''Contesting 'good' governance'', Eva Poluha and Mona Rosendahl contest standards that are common to western democracy as measures of "goodness" in government. By applying political anthropological methods, they conclude that while governments believe they apply concepts of good governance while making decisions, cultural differences can cause conflict with the heterogeneous standards of the international community. An additional source of good governance criticism is ''The Intelligent Person's Guide to Good Governance'', written by Surendra Munshi. Munshi's work was created in order to "revive" good governance. Many individuals tend to either wave away and be bored with the idea of governance, or not have a clue to what it has at all. This book is a generalized discussion on what the purpose of good governance is and how it serves that purpose throughout our society. Munshi targets the book toward anyone doing research or just simply "those concerned with the issue of governance". ''Rethinking Systems: Configurations of Politics and Policy in Contemporary Governance'', written by Michael P. Crozier, is another work analyzing good governance. Crozier's article discusses the different dynamics of changes that occur throughout communication systems and the effect it has on governance. The idea of various perspectives is presented throughout the article. This allows the reader to be able to see what contemporary governance is like from different viewpoints. Crozier's motive was to also create an open mindset when referring to how governance and policy within society operate, especially with the constant changes occurring day to day. Recent criticism has been aimed at the idea that good governance and institutions are one of the primary explanatory variables of economic growth, such as argued by Kaufmann and Kraay and Acemoglu and Robinson, which has put institutional reforms high on global development agendas. The criticism is fundamentally concerned with the issue that the relatively few countries which have managed to develop rapidly over the last 70 years did not have the "right" kind of institutions; in contrast, countries like China and South Korea have been plagued by corruption and a lack of checks-and-balances during their development trajectories. Or as the development economist Dani Rodrik put it: "A development strategy that focused on anti-corruption in China would not have produced anything like the growth rate that this country has experienced since 1978, nor would it have resulted in 400 million plus fewer people in extreme poverty." As a result, it has been pointed out that anti-corruption efforts and government reforms can have very negative consequences in especially fragile countriesKuipers, S. (2021), "Rethinking anti-corruption efforts in international development", ''Journal of Financial Crime'', Vol. ahead-of-print No. ahead-of-print. .North, D.C. et al. (2013), "Limited Access Orders: An Introduction to the Conceptual Framework", North, D.C. et al. (eds.), ''In the Shadow of Violence: Politics, Economics and the Problems of Development'', Cambridge University Press, Cambridge, pp. 1-23. there can be significantly bigger barriers to economic growth than corruption or institutional quality, and anti-corruption efforts and governance reforms often fail because of a suboptimal understanding of local socio-political contexts. Various authors have furthermore argued that "good governance" provides a very unhelpful development agenda as it is unclear what the "right" kind of institutions are or how they should be realized even if we were to accept that they are necessary or helpful.Grindle, M.S. (2017), "Good Governance, R.I.P.: A Critique and an Alternative", ''Governance'', Vol. 30, No. 1, pp. 17-22.


See also

* Developing country * Due diligence *
Good government Good government is a normative description of how government is supposed to be constituted. It has been frequently employed by various political thinkers, ideologues and politicians. Thomas Jefferson and good government Thomas Jefferson often r ...
*
Good Governance Day Good Governance Day (Hindi: सुशासन दिवस, IAST: ''Suśāsan Divas'') is observed in India annually on the twenty-fifth day of December, the birth anniversary of former-Prime Minister Atal Bihari Vajpayee. Good Governance Day ...
* Peace, order and good government


References


Sources

* found a
Google Books
*{{cite book, title= State formation in Palestine: viability and governance during a social transformation: Volume 2 of Political economy of the Middle East and North Africa , last = Khan , first = Mushtaq Husain , author-link = Mushtaq Khan (economist) , year = 2004 , publisher = Routledge , isbn = 978-0-415-33802-8 found a
Google Books
* Heritier, P. & Silvestri P. (Eds.)
''Good government, Governance, Human complexity. Luigi Einaudi's legacy and contemporary societies'', Leo Olschki, Firenze, 2012
* Quian, Yingyi (2003) 'How Reform Worked in China', in Rodrik.


External links



UNESCAP
Sustainable Governance Indicators


Anti-corruption measures Governance International development Political science terminology