Skip to main content Accessibility help
×
Hostname: page-component-78c5997874-xbtfd Total loading time: 0 Render date: 2024-11-19T22:46:38.388Z Has data issue: false hasContentIssue false

13 - International comparisons of output and productivity in public service provision: A review

Published online by Cambridge University Press:  22 September 2009

Mary O'Mahony
Affiliation:
Professor of International Industrial Economics University of Birmingham Business School
Philip Stevens
Affiliation:
Research Fellow National Institute of Economic and Social Research
George A. Boyne
Affiliation:
Cardiff University
Kenneth J. Meier
Affiliation:
Texas A & M University
Laurence J. O'Toole, Jr.
Affiliation:
University of Georgia
Richard M. Walker
Affiliation:
The University of Hong Kong
Get access

Summary

Introduction

This chapter reviews the theoretical and empirical issues involved in undertaking international comparisons of output and productivity (outputs per inputs used) in the provision of public services. The primary focus of the chapter is on performance in aggregate sectors such as health and education, although many of the arguments carry through to more detailed comparisons such as the treatment of specific diseases or types of education. A host of measures of performance are available in the existing literature, from indexes of activity rates to surveys of consumer satisfaction, but there has been little effort to evaluate their relative merits. The purpose of the chapter is both to review existing measures and argue for a unifying framework to ensure that the measures are comprehensive in coverage and place the appropriate weights on various aspects of provision. This framework puts consumer preferences centre stage and draws from the methods employed to measure performance in the private sector.

The chapter begins with a review of existing measures used to evaluate international comparisons of performance, first considering measures for the private sector and then considering available indicators for public services. This highlights the confused picture that emerges for public services in contrast to the useful insights that arise for the private sector. The chapter considers alternative approaches that can be employed for public services and argues in favour of including information on final outcomes.

Type
Chapter
Information
Public Service Performance
Perspectives on Measurement and Management
, pp. 233 - 253
Publisher: Cambridge University Press
Print publication year: 2006

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Ashenfelter, O., Harmon, C. and Oosterbeek, H. (1999) ‘A review of the schooling/earnings relationship, with tests for publication bias’, Labour Economics, 6: 453–470.CrossRefGoogle Scholar
Baily, M. and Garber, A. (1997) ‘Health care productivity’, Brookings Papers on Economic Activity: Microeconomics, 1997: 143–202.CrossRefGoogle Scholar
Berndt, E. R., Cutler, D. M., Frank, R. G., Griliches, Z., Newhouse, J. P. and Triplett, J. E. (2000) ‘Medical care prices and output’ in Culyer, A. J. and Newhouse, J. P. (eds.) Handbook of health economics, Vol 1. Elsevier Science B.V., pp. 119–175.Google Scholar
Broadberry, S. N. (1998) ‘How did the United States and Germany overtake Britain? A sectoral analysis of comparative productivity levels, 1870–1990’, Journal of Economic History, 58: 375–407.CrossRefGoogle Scholar
Cutler, D. M. and Richardson, E. (1997) ‘Measuring the health of the US population’, Brookings Papers on Economic Activity: Microeconomics 1997: 217–271.CrossRefGoogle Scholar
Cutler, D. M., McClellan, M., Newhouse, J. P. and Remler, D. (1998) ‘Are medical prices declining? Evidence from heart attack treatments’, Quarterly Journal of Economics, 113: 991–1024.CrossRefGoogle Scholar
Cutler, D. M. and McClellan, M. (2001) ‘Productivity change in health care’, American Economic Review, 91: 281–286.CrossRefGoogle Scholar
Cutler, David M. and Berndt, Ernst R. (eds.) (2001) Medical care output and productivity. Chicago: Chicago University Press.CrossRefGoogle Scholar
Dawson, D., Gravelle, H., Kind, P., O'Mahony, M., Street, A. and Weale, M. (2004) ‘Developing new approaches to measuring NHS outputs and productivity, first interim report’, CHE Technical Paper Series No. 31, Centre for Health Economics: University of York.Google Scholar
Fraumeni, B. M. (2000) ‘The output of the education sector as determined by education's effect on lifetime income’. Paper presented at ‘Workshop on measuring the output of the education sector’, Brookings Program on Output and Productivity Measurement in the Service Sector.
Fraumeni, B. M., Reinsdorf, M. B. and Robinson, B. P. (2004) Real output measures for the education function of government, a first look at primary and secondary education. Washington DC: US Bureau of Economic Analysis.Google Scholar
Hanushek, E. (2002) ‘Publicly provided education’ in Auerbach, A. J. and Feldstein, M. (eds.) Handbook of public economics. Amsterdam: North Holland, pp. 2047–2143.Google Scholar
Hanushek, E. (2004) ‘Some simple analytics of school quality’, National Bureau of Economic Research, Working Paper No. 10229, Cambridge, MA: NBER.Google Scholar
Jorgenson, D. W. and Fraumeni, B. M. (1992) ‘The output of the education sector’ in Griliches, Z. (ed.) Output measurement in the services sector. Chicago: University of Chicago Press.CrossRefGoogle Scholar
Konijn, P. and Kleima, F. (2003) ‘Volume measurement of education’ in Netherlands Official Statistics2000–3. Amsterdam: Statistics Netherlands, pp. 11–19.Google Scholar
McClellan, , M., B. and Kessler, D. P. (eds.) (2003) Technological change in health care. A global analysis of heart attack. University of Michigan Press.Google Scholar
Maddison, A. (2001) The world economy: A millennial perspective, Paris: Organisation for Economic Co-operation and Development.CrossRefGoogle Scholar
National Center for Health Statistics (2003) Health, United States, 2003. Hyattsville, Maryland: Department of Health and Human Services, Center for Disease Control and Prevention.
Organisation for Economic Co-operation and Development (2002) Measuring up: improving health system performance in OECD countries. Paris: Organisation for Economic Co-operation and Development.
Organisation for Economic Co-operation and Development (2003a) The sources of economic growth in OECD countries. Paris: Organisation for Economic Co-operation and Development.
Organisation for Economic Co-operation and Development (2003b) OECD Health Data 2003. Paris: Organisation for Economic Co-operation and Development.
Organisation for Economic Co-operation and Development (2003c) A disease-based comparison of health systems. What is best and at what cost?Paris: Organisation for Economic Co-operation and Development.
O'Mahony, M. and deBoer, W. (2002) ‘Britain's relative productivity performance: Has anything changed?’, National Institute Economic Review, 179: 38–43.CrossRefGoogle Scholar
O'Mahony, M. and Stevens, P. (2005) International comparisons of performance in public services: outcome based measures for education. Mimeo. London: NIESR.Google Scholar
O'Mahony, M. and Ark, B. (2003) EU productivity and competitiveness: an industry perspective. Can Europe resume the catching-up process?Luxembourg: Enterprise Publications, European Commission.Google Scholar
Prais, S. J. (2003) ‘Cautions on OECD's recent educational survey (PISA)’, Oxford Review of Education 29: 139–163.CrossRefGoogle Scholar
Pritchard, A. (2002) ‘Measuring productivity change in the provision of public services’, Economic Trends 582: 20–32.Google Scholar
Spence, A. M. (1973) ‘Job market signaling’, Quarterly Journal of Economics, 87: 355–374.CrossRefGoogle Scholar
Triplett, J. E. (2001) ‘What's different about health? Human repair and car repair in national accounts and national health accounts’ in Cutler, D. M. and Berndt, E. R. (eds.), Medical care output and productivity. Chicago: Chicago University Press, pp. 15–95.CrossRef
Weiss, A. (1995) ‘Human capital vs signaling explanations of wages’, Journal of Economic Perspectives 9: 133–154.CrossRefGoogle Scholar
Wolpin, K. I. (1977) ‘Education and screening’, American Economic Review 67: 949–958.Google Scholar
World Health Organization (2003) WHO mortality database.
World Health Organization (2004) European Health for All database. WHO Regional Office for Europe.
Zhao, S. and Jones, M. (2003) ‘The output of the government education sector – experimental estimates and issues’, Australian Bureau of Statistics Working Paper.Google Scholar

Save book to Kindle

To save this book to your Kindle, first ensure [email protected] is added to your Approved Personal Document E-mail List under your Personal Document Settings on the Manage Your Content and Devices page of your Amazon account. Then enter the ‘name’ part of your Kindle email address below. Find out more about saving to your Kindle.

Note you can select to save to either the @free.kindle.com or @kindle.com variations. ‘@free.kindle.com’ emails are free but can only be saved to your device when it is connected to wi-fi. ‘@kindle.com’ emails can be delivered even when you are not connected to wi-fi, but note that service fees apply.

Find out more about the Kindle Personal Document Service.

Available formats
×

Save book to Dropbox

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Dropbox.

Available formats
×

Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

Available formats
×