standards in restaurants. In contrast, perceptions of financial management capacity are higher, with 70 percent of respondents approving of local government performance in revenue collection and 50 percent for spending decisions.

Regarding provision of quality education, 40 percent of respondents found public schools lacking textbooks or other supplies, and classrooms overcrowded. Regarding the quality of health services, 40 percent of respondents found the services to be too expensive, experienced lack of medicines or other supplies, and long wait time. Only 20 percent of respondents had direct experience with corruption related to illegal payments to access education or health services.

Table 8 shows the results for the governance indicators. In column (1), respondents living within 20 kilometers of an industrial mining site are significantly less likely to trust their elected local government councilors. But they are also significantly less likely to view their local councilors as widely involved in corruption (column 2), and they see them as more accountable (column 3). More-educated respondents significantly view local councilors as less trustworthy, more corrupt, and more accountable. The coefficients of the variable poverty imply that richer respondents significantly view councilors as more trustworthy and more accountable. As table 9 (columns 1– 4) indicates, respondents in mining areas are significantly less likely to view local government as performing well in terms of maintaining roads or markets, keeping the communities clean, and maintaining health standards in restaurants. They are also significantly less likely to perceive local government as performing well in revenue collection (column 5), but more likely to perceive them as performing well in spending decisions (column 6). Table 10 shows that respondents in the vicinity of mining are less likely to have experienced public schools as expensive, lacking textbooks or other supplies, having poor teaching, or having facilities in poor condition (columns 1–6). But they are more likely to have experienced illegal payments (column 7). Table 11 shows that respondents in the vicinity of mining are more likely to have experienced lack of medicines (column 2) and illegal payments (column 7) in public health services.<sup>16</sup> The above results are consistent with the emerging literature on the role of governance within local jurisdictions in moderating the effect of resource booms. Our results confirm those found in oilrich Brazilian municipalities in Caselli and Michaels (2013) and Monteiro and Ferraz (2012). Mining communes in Mali receive higher revenues and report higher capital and current expenditures spending. Capital expenditure is driven by spending in education. Reported nonsalaries current expenditure increased tenfold in mining areas. However, the differences in welfare outcomes in general are only marginal. The Afrobarometer data reveal that technical capacity and not corruption or lack of accountability may be the reason local governments are not successful in transforming revenues into better public goods and services for better welfare outcomes.

> 16 Sensitivity of the results is consistent with a declining size effects as distance from mine site increases. These results are available upon request.

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