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What has happened to Sub-Regional Public Sector Efficiency in England since the Crisis?
Author:
Samya Beidas-Strom
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Series:
IMF Working Papers
Volume/Issue:
Volume 2017: Issue 036
Language:
English
Publication Date:
14 Feb 2017
DOI:
https://doi.org/10.5089/9781475578966.001
ISBN:
9781475578966
ISSN:
1018-5941
Pages:
44
Keywords:
WP; health output; public expenditure; efficiency score; post crisis; public sector efficiency or productivity; sub-regional fiscal federalism; public spending cut; DEA result; DEA efficiency estimation; simple average; input-output pair; DEA regression; DEA score; fiscal consolidation effort; Public sector; Education spending; Global
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IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.
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This paper estimates public sector service efficiency in England at the sub-regional level, studying changes post crisis during the large fiscal consolidation effort. It finds that despite the overall spending cut (and some caveats owing to data availability), efficiency broadly improved across sectors, particularly in education. However, quality adjustments and other factors could have contributed (e.g., sector and technology-induced reforms). It also finds that sub-regions with the weakest initial levels of efficiency converged the most post crisis. These sub-regional changes in public sector efficiency are associated with changes in labor productivity. Finally, the paper finds that regional disparities in the productivity of public services have narrowed, especially in the education and health sectors, with education attainment, population density, private spending on high school education and class size being to be the most important factors explaining sub-regional variation since 2003.
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Cover IMF Working Papers
IMF Working Papers
ISSN:
1018-5941
Publisher:
International Monetary Fund