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On the Welfare State Performance in the European Union

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  • Coelli, Tim
  • Lefebvre, Mathieu
  • Perelman, Sergio
  • Pestieau, Pierre

Abstract

In this paper we use data on five social inclusion indicators (poverty, inequality, unemployment, education and health) to assess and compare the performance of 27 European welfare states (EU27) in 2008. Aggregate measures of performance are obtained using index number methods similar to those employed in the construction of the widely used Human Development Index (HDI). These are compared with alternative measures derived from data envelopment analysis (DEA) methods. We are particularly interested by the comparison between EU15 and the 12 newcomers. As it will appear among the newcomers some countries are ranking among the top performers and others are relegated in the bottom of the ranking.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 8096.

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Date of creation: Nov 2010
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Handle: RePEc:cpr:ceprdp:8096

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Keywords: best practice frontier; performance measure; social protection;

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  1. António Afonso & Ludger Schuknecht & Vito Tanzi, 2006. "Public Sector Efficiency: Evidence for New EU Member States and Emerging Markets," Working Papers Department of Economics 2006/01, ISEG - School of Economics and Management, Department of Economics, University of Lisbon.
  2. Hans-Werner Sinn, 1990. "Tax Harmonization and Tax Competition in Europe," NBER Working Papers 3248, National Bureau of Economic Research, Inc.
  3. Laurens Cherchye & Wim Moesen & Tom Van Puyenbroeck, 2003. "Legitimately Diverse, yet Comparable: On Synthesising Social Inclusion Performance in the EU," Public Economics Working Paper Series ces0301, Katholieke Universiteit Leuven, Centrum voor Economische Studiën, Working Group Public Economics.
  4. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
  5. Afonso, António & Schuknecht, Ludger & Tanzi, Vito, 2003. "Public sector efficiency: an international comparison," Working Paper Series 0242, European Central Bank.
  6. Fare, Rolf & Shawna Grosskopf & Mary Norris & Zhongyang Zhang, 1994. "Productivity Growth, Technical Progress, and Efficiency Change in Industrialized Countries," American Economic Review, American Economic Association, vol. 84(1), pages 66-83, March.
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