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Public Education, Accountability, and Yardstick Competition in a Federal System

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  • Mandel Philipp

    (Institute for Empirical Research in Economics (IEW) Econometrics, University of Leipzig, Grimmaische Str. 12, Leipzig D-04109, Germany)

  • Süssmuth Bernd

Abstract

Against the backdrop of a growing national and international accountability movement in education outcomes, this study sets up a simple model of yardstick competition with incumbent-disciplining effects through voters comparing performance measures of public education both across nations and federal states. It implies a potential strategic dilemma where a single top-performance state can block reform measures that could benefit low-performance states more than would do for itself. The linchpin predictions of the model are tested by analyzing announcement effects of student achievement tests on vote and popularity (VP) functions of German national and state government incumbents.

Suggested Citation

  • Mandel Philipp & Süssmuth Bernd, 2015. "Public Education, Accountability, and Yardstick Competition in a Federal System," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 15(4), pages 1679-1703, October.
    • Handle: RePEc:bpj:bejeap:v:15:y:2015:i:4:p:1679-1703:n:8
    DOI: 10.1515/bejeap-2014-0090
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    More about this item

    JEL classification:

    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism
    • I28 - Health, Education, and Welfare - - Education - - - Government Policy

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