The Influence of Government Capacity on E-Services Diffusion at Municipal Level in New Jersey

Introduction

Information and communication technologies (ICTs) have been used increasingly by governments to improve public service provisions. Nowadays, various e-services are available on government websites or through digital tools, such as applying for permits and licenses online, making payments for tickets and utilities through smartphone, paying taxes online, etc. In the city of Newark, besides these services, residents can register for consideration for jobs on government website, and businesses can be directly registered online too. Similar services are provided on many other major municipality websites, such as Los Angeles and Chicago.

Although great progress has been made, the reality is that governments at both municipal and national levels still perform poorly and a great gap exists. Researchers have tried to explain the diffusion and explore the determinants of e-services adoption and development. However, there is a lack of literature available that emphasizes the role of government capacity. Government capacity refers to the abilities of governments to carry out their functions, which is the foundation for government performance. And, it is expected that governments with higher levels of capacity will perform better in e-services. In this study, we tested the influence of government capacity (technical capacity, financial capacity, and administrative capacity) on e-services diffusion at the municipal level and found that administrative capacity significantly impacts e-services provision.