Political economy of third party interventions

• We study governance training intervention by World Bank in West Bengal villages. The led to the state government allocating additional resources program villages aligned ruling party. It intensified party switching behavior of rival incumbent politicians. Reelection rates incumbents went down due intervention. paper examines political economy consequences a third (World Bank) India. was capacity building initiative that trained local politicians various procedures sample show reacted with incumbents. Consequently, opposition favor up significantly Moreover, reelection rate intervention, especially for those who didn’t switch parties. results highlight importance considering such interventions, even countries not heavily reliant on foreign assistance, better understand their overall welfare effects.