Title: Impacts of decentralisation on quality and satisfaction: evidence from city bus service in Vietnam

Authors: Hung V. Nguyen; Thang V. Nguyen; Cuong H. Nguyen; Anh T. Ha

Addresses: Institute for Sustainable Development, National Economics University, 207 Giai Phong, Hai Ba Trung District, Hanoi, Vietnam ' Institute for Sustainable Development, National Economics University, 207 Giai Phong, Hai Ba Trung District, Hanoi, Vietnam ' Le Thi Rieng Vocational School, Street 9, Phuoc Binh Ward, District 9, Hochiminh City, Vietnam ' Institute for Sustainable Development, National Economics University, 207 Giai Phong, Hai Ba Trung District, Hanoi, Vietnam

Abstract: Decentralisation has been attributed to fruitful outcomes for public services. However, by employing agency theory in this paper we argue that full decentralisation of all dimensions may not help, at least in the public bus service. Instead, better quality and satisfaction can only be achieved in a more fiscal but less administrative and political decentralisation. Data from two municipalities in the emerging economy of Vietnam is used to provide the empirical evidence. This paper thus is contributed to the literature of decentralisation and the emerging one of quality and satisfaction in public services. Limitations of the study are also discussed.

Keywords: public services; transport economics; decentralisation; quality; satisfaction; public policy.

DOI: 10.1504/IJSEM.2019.103171

International Journal of Services, Economics and Management, 2019 Vol.10 No.3, pp.229 - 247

Received: 17 Dec 2018
Accepted: 10 May 2019

Published online: 14 Oct 2019 *

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