State Capacity: Utilization, Durability, and the Role of Wealth vs. History

Abstract

The concept of state capacity has been in development literature for decades. Nevertheless the concept, its operationalization, and its measurement are still highly contested. This paper seeks to briefly review the literature on state capacity and provide an empirical analysis of recent data in order to reassess the state of capacity theory and testing. We argue that very little, if any, attention has been paid to critical variations in national regional and subnational levels in state service provision, both statically and over time. We also argue that existing theoretical research in capacity utilization can provide insights to state building and development scholars regarding who is “doing more with less”. Finally, we offer the concept of durable capacity as a way of understanding how states can provide longstanding development outcomes despite income variations.