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Efficiency and equity in private and public education: A nonparametric comparison

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  • Cherchye, Laurens
  • De Witte, Kristof
  • Ooghe, Erwin
  • Nicaise, Ides

Abstract

We present a nonparametric approach for (1) efficiency and (2) equity evaluation in education. Firstly, we use a nonparametric (Data Envelopment Analysis) model that is specially tailored to assess educational efficiency at the pupil level. The model accounts for the fact that typically minimal prior structure is available for the behavior (objectives and feasibility set) under evaluation. It allows for uncertainty in the data, while it corrects for exogenous 'environmental' characteristics that are specific to each pupil. Secondly, we propose two multidimensional stochastic dominance criteria as naturally complementary aggregation criteria for comparing the performance of different school types (private and public schools). While the first criterion only accounts for efficiency, the second criterion also takes equity into consideration. The model is applied for comparing private (but publicly funded) and public primary schools in Flanders. Our application finds that no school type robustly dominates another type when controlling for the school environment and taking equity into account. More generally, it demonstrates the usefulness of our nonparametric approach, which includes environmental and equity considerations, for obtaining 'fair' performance comparisons in the public sector context.

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Bibliographic Info

Article provided by Elsevier in its journal European Journal of Operational Research.

Volume (Year): 202 (2010)
Issue (Month): 2 (April)
Pages: 563-573

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Handle: RePEc:eee:ejores:v:202:y:2010:i:2:p:563-573

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Web page: http://www.elsevier.com/locate/eor

Related research

Keywords: Data Envelopment Analysis Equity Efficiency Private versus public education Nonparametric analysis;

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Cited by:
  1. Aleksander Aristovnik, 2013. "Relative Efficiency of Education Expenditures in Eastern Europe: A Non-parametric Approach," Journal of Knowledge Management, Economics and Information Technology, ScientificPapers.org, vol. 3(3), pages 4, June.
  2. Manuel Antonio Muñiz Pérez & Javier Suárez Pandiello, 2011. "Educación en valores y competencias sociales: Diferencias (o no) entre institutos públicos y colegios concertados," Investigaciones de Economía de la Educación volume 6, in: Antonio Caparrós Ruiz (ed.), Investigaciones de Economía de la Educación 6, edition 1, volume 6, chapter 12, pages 208-222 Asociación de Economía de la Educación.
  3. Nghiem, Son & Nguyen, Ha & Connelly, Luke, 2014. "The Efficiency of Australian Schools: Evidence from the NAPLAN Data 2009-2011," MPRA Paper 56231, University Library of Munich, Germany.
  4. Cordero Ferrera, Jose Manuel & Alonso Morán, Edurne & Nuño Solís, Roberto & Orueta, Juan F. & Souto Arce, Regina, 2013. "Efficiency assessment of primary care providers: A conditional nonparametric approach," MPRA Paper 51926, University Library of Munich, Germany.
  5. Bucciarelli Edgardo & Odoardi Iacopo & Pagliari Carmen & Tateo Armando, 2011. "American And Italian Perspectives On Public And Private Education Choices," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(1), pages 167-172, July.
  6. Arif Wismadi & Mark Zuidgeest & Mark Brussel & Martin Maarseveen, 2014. "Spatial Preference Modelling for equitable infrastructure provision: an application of Sen’s Capability Approach," Journal of Geographical Systems, Springer, vol. 16(1), pages 19-48, January.
  7. M. Portela & A. Camanho & A. Keshvari, 2013. "Assessing the evolution of school performance and value-added: trends over four years," Journal of Productivity Analysis, Springer, vol. 39(1), pages 1-14, February.
  8. Cordero, José Manuel & Prior, Diego & Simancas Rodríguez, Rosa, 2013. "A comparison of public and private schools in Spain using robust nonparametric frontier methods," MPRA Paper 51375, University Library of Munich, Germany.
  9. Zuzana Kučerová, 2012. "Measuring of Efficiency in the Public and Private Sector – Current Research Approaches," Český finanční a účetní časopis, University of Economics, Prague, vol. 2012(2), pages 110-125.
  10. De Witte, Kristof & Mika, Kortelainen, 2009. "Blaming the exogenous environment? Conditional efficiency estimation with continuous and discrete exogenous variables," MPRA Paper 14034, University Library of Munich, Germany.

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