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การประหยัดจากขนาดในองค์กรปกครองส่วนท้องถิ่น
           และวิเคราะห์ศักยภาพการควบรวมท้องถิ่นขนาดเล็ก




                 1000population are investigated and they follow the pattern of
                 “decreasing cost”; beyond 10000 population, the unit costs tend to
                 increase along with local scale of operation. It should worth mentioning
                 that we do not conclude that this is “optimal” – that the minimum cost
                 is a view from supply side alone—it is as well important to consider the
                 demand side (the user of local services) and hence, we should consider
                 the effects from demanders which inclusive of social acceptance,
                 transaction costs, travelling cost and time.
                      Second, another way of perceiving “diseconomies-of-scale” in
                 small-sized municipalities and subdistrict administration is clearly
                 evidenced when we explore the relationship between cost and local
                 employment. This refers to the local employment policy which specifies
                 the number of local officer and their position and the limit to hire
                 permanent- or temporary hired workers, and the limit to personnel
                 expense not exceeding 40% of local budget. These are viewed as “fixed
                 costs” to local administration, accordingly the unit cost of personnel
                 expense can be very high when the population size decreases.

                      Third, the quality of local public services is crucial and relevant to
                 our study, in this connection we collect the LPA data (local performance
                 assessment) from the Department of Local Administration (whose scores
                 range from 0 to 100).  We found that the LPA in the large-sized local
                 units tend to be significantly higher than the small-sized local units, and
                 it may be interpreted that: i) the local public services among the small-
                 sized units tend to be incompleted and some functions were neglected;
                 ii) the activities or public services by the small-sized units may be not as
                 frequent as in the large-sized.  And these may be related to financial
                 capabilities or the small-number of people participation. These might
                 have led to an attitude that it is not worth to perform such activities or
                 that people do not demand for such as such functions.  For instance, the
                 subdistrict administration rarely perform garbage collection and they
                 tend to perceive that “local peoples can help themselves”—in reality
                 there are numerous evidences that garbage from rural area are disposed
                 in the nearby municipalities.




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