Can Intergovernmental Learning Enhance Effectiveness? A New Perspective From Policy Uncertainty

ABSTRACT Intergovernmental learning is widely regarded as a valuable strategy for governments to cope with changes in the external environment, but the existing literature still lacks robust evidence on its effectiveness. To fill this gap, I utilize the economic policy uncertainty (EPU) index as a proxy for governments' effectiveness and local leaders' policy tourism as a proxy for intergovernmental learning to explore the effect of intergovernmental learning on governments' effectiveness. The results reveal that policy tourism significantly reduces policy uncertainty, confirming that intergovernmental learning enhances governments' effectiveness. Moreover, learning from jurisdictions with less homophily yields a greater reduction in policy uncertainty compared to learning from jurisdictions with more homophily. Finally, the impact of intergovernmental learning on policy uncertainty diminishes with the tenure of local leaders. Given the importance of governments' effectiveness in evaluating government policy and behavior, this study offers a novel insight into how local government can improve effectiveness through learning activities.