Title：The impacts of fiscal transparency on perceived public service performance: empirical evidence from China
Abstract: Enhancing the positive role of fiscal transparency in shaping citizens' perceptions of public service performance is essential for improving the effectiveness of public service delivery. While transparency has increasingly been regarded as a critical determinant of perceived performance, the mechanisms through which it influences citizen evaluations remain underexplored. Building on principal-agent theory and expectation disconfirmation theory, this study integrates accountability mechanisms with cognitive-evaluative processes to examine how fiscal transparency shapes citizen perceptions. Utilizing data spanning 2013-2022, the findings demonstrate that fiscal transparency exerts a statistically significant positive effect on perceived performance. Public service expenditure partially mediates the transparency-performance relationship. Furthermore, trust in public officials significantly moderates this relationship, with higher trust strengthening the positive impact of fiscal openness. Heterogeneity analyses reveal that the effect of fiscal transparency is significantly stronger among employed individuals, those with higher self-assessed socioeconomic status, and rural hukou holders who face greater information asymmetries. These findings suggest that efforts to improve fiscal transparency in the public service domain should shift from a supply-driven model centred on governmental willingness to a demand-oriented model responsive to citizens' differentiated needs. The study contributes to transparency literature by integrating accountability and cognitive-evaluative perspectives and considering the importance of individual-level disparities.
Keywords:Fiscal transparency；perceived public service performance；public service expenditure；trust in public officials；individual heterogeneity；
DOI:https://doi.org/10.1080/17516234.2026.2614025
