Substitution Effects

A Substitution Effect occurs when an organization takes over for local capacity and reduces or replaces local efforts.

In situations of conflict there are two additional potential negative aspects of the Substitution Effect. First, the Substitution can free up local resources for other, nefarious purposes. Second, the Substitution can delegitimize existing and potential authority structures.

The patterns of Substitution Effects are a special challenge. We warn against them all the time, preferring local solutions and local governance, but we remain well aware that some things can be accomplished by outsiders and interveners that cannot be done or done as well by locals. At the same time, ultimately, local people are responsible.

Supporting local capacities in relation to those things that interveners can offer is one of the most difficult balancing acts faced by outside interveners.

Previous Page Using Market Effects
Next Page Substitution Effects free up resources to pursue conflict

Related Topics
Why do negative Substitution Effects happen?
Using Substitution Effects
Substitution Effects result in authorities’ loss of capacity
Substitution and legitimacy
Resource Transfers

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