The governance and performance of universities: evidence from Europe and the US
Abstract"We test the hypothesis that universities are more productive when they are both more autonomous and face more competition. Using survey data, we construct indices of university autonomy and competition for both Europe and the United States. We show that there are strong positive correlations between these indices and multiple measures of university output. To obtain causal evidence, we investigate exogenous shocks to US universities' expenditures over three decades. These shocks arise through the political appointment process, which we use to generate instrumental variables. We find that an exogenous increase in a university's expenditure generates more output, measured by either patents or publications, if the university is more autonomous and faces more competition. Exploiting variation over time in the 'stakes' of competitions for US federal research grants, we also find that universities generate more output for a given expenditure when research competitions are high stakes. We draw lessons, arguing that European universities could benefit from a combination of greater autonomy and greater accountability. Greater accountability might come through increased reliance on competitive grants, enhanced competition for students and faculty (promoted by reforms that increase mobility), and yardstick competitions (which often take the form of assessment exercises)." Copyright (c) CEPR, CES, MSH, 2010.
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Bibliographic InfoArticle provided by CEPR & CES & MSH in its journal Economic Policy.
Volume (Year): 25 (2010)
Issue (Month): (01)
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- Philippe Aghion & Mathias Dewatripont & Caroline Hoxby & Andreu Mas-Colell & André Sapir, 2010. "The governance and performance of universities: Evidence from Europe and the US," ULB Institutional Repository 2013/167268, ULB -- Universite Libre de Bruxelles.
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- Lisa Grazzini & Annalisa Luporini & Alessandro Petretto, 2010.
"Competition between State Universities,"
Working Papers - Economics
wp2010_02.rdf, Universita' degli Studi di Firenze, Dipartimento di Scienze per l'Economia e l'Impresa.
- World Bank, 2012. "Universities Through the Looking Glass : Benchmarking University Governance to Enable Higher Education Modernization in MENA," World Bank Other Operational Studies 12535, The World Bank.
- Gianni De Fraja & Paola Valbonesi, 2009.
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- Eric A. Hanushek & Susanne Link & Ludger Woessmann, 2011.
"Does School Autonomy Make Sense Everywhere? Panel Estimates from PISA,"
CESifo Working Paper Series
3648, CESifo Group Munich.
- Hanushek, Eric A. & Link, Susanne & Woessmann, Ludger, 2013. "Does school autonomy make sense everywhere? Panel estimates from PISA," Journal of Development Economics, Elsevier, vol. 104(C), pages 212-232.
- Hanushek, Eric A. & Link, Susanne & Woessmann, Ludger, 2012. "Does School Autonomy Make Sense Everywhere? Panel Estimates from PISA," ADB Economics Working Paper Series 296, Asian Development Bank.
- Hanushek, Eric A. & Link, Susanne & Woessmann, Ludger, 2011. "Does School Autonomy Make Sense Everywhere? Panel Estimates from PISA," IZA Discussion Papers 6185, Institute for the Study of Labor (IZA).
- Eric A. Hanushek & Susanne Link & Ludger Woessmann, 2011. "Does School Autonomy Make Sense Everywhere? Panel Estimates from PISA," NBER Working Papers 17591, National Bureau of Economic Research, Inc.
- Hanushek, Eric A. & Link, Susanne & Wößmann, Ludger, 2013. "Does school autonomy make sense everywhere? Panel estimates from PISA," Munich Reprints in Economics 20465, University of Munich, Department of Economics.
- Eric A. Hanushek & Ludger Woessmann, 2010.
"How much do Educational Outcomes Matter in OECD Countries?,"
CESifo Working Paper Series
3238, CESifo Group Munich.
- Eric A. Hanushek & Ludger Woessmann, 2011. "How much do educational outcomes matter in OECD countries?," Economic Policy, CEPR & CES & MSH, vol. 26(67), pages 427-491, 07.
- Hanushek, Eric A. & Woessmann, Ludger, 2010. "How Much Do Educational Outcomes Matter in OECD Countries?," IZA Discussion Papers 5401, Institute for the Study of Labor (IZA).
- Eric A. Hanushek & Ludger Woessmann, 2010. "How Much Do Educational Outcomes Matter in OECD Countries?," NBER Working Papers 16515, National Bureau of Economic Research, Inc.
- Hanushek, Eric A. & Wößmann, Ludger, 2011. "How much do educational outcomes matter in OECD countries?," Munich Reprints in Economics 20416, University of Munich, Department of Economics.
- Carillo, Maria Rosaria & Papagni, Erasmo & Sapio, Alessandro, 2013. "Do collaborations enhance the high-quality output of scientific institutions? Evidence from the Italian Research Assessment Exercise," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 47(C), pages 25-36.
- Shahid Yusuf & Kaoru Nabeshima, 2012. "Some Small Countries Do It Better : Rapid Growth and Its Causes in Singapore, Finland, and Ireland," World Bank Publications, The World Bank, number 2243, October.
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