IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/23085.html
   My bibliography  Save this paper

Reducing the administrative expenditures as source for increasing the efficiency of local governance under conditions of the financial crisis

Author

Listed:
  • Matei, Ani
  • Matei, Lucica

Abstract

In the last 10-15 years the preoccupation concerning administrative expenses were expressed in concrete initiatives. The networks concerning Standard Costs Model (SCM) are worth mentioning for reducing administrative expenses in private business area. European Commission elaborated and is currently implementing a strategy for reducing administrative costs for business inside EU. Similar initiatives can be found at OECD, World Bank and in numerous other European states, and not only, such as USA, UK, Denmark, Netherlands, Sweden, Norway and others. Financial crisis emphasized the preoccupation for administrative expenses reduction. The analysis and measurements focus was transferred towards public business area where most of the states proposed short term strategies to reduce the mentioned expenses. In this context, the strategies comprised all governance levels were expressed in concrete measures to reduce administrative expenses for administrative structure and local public services etc. In many of the situations, the resulted sums from the administrative expenses reductions were redirected towards production process concluding in the maintaining of public service production and increasing its efficiency related to workforce. In this context, the present paper aims to generate economic models that determine the influence of administrative expenses reduction on public services efficiency and, based on these, to formulate conclusions on local governance efficiency.

Suggested Citation

  • Matei, Ani & Matei, Lucica, 2010. "Reducing the administrative expenditures as source for increasing the efficiency of local governance under conditions of the financial crisis," MPRA Paper 23085, University Library of Munich, Germany, revised 05 May 2010.
  • Handle: RePEc:pra:mprapa:23085
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/23085/1/MPRA_paper_23085.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Ani Matei & Lucica Matei & Teodora Dinu, 2009. "Marketing of Local Public Services under the Reduction of Administrative Expenditures," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania - AGER, vol. 3(03(532)), pages 07-28, March.
    2. Eric Miller, 2008. "An Assessment of CES and Cobb-Douglas Production Functions: Working Paper 2008-05," Working Papers 19992, Congressional Budget Office.
    3. Saunders, Peter, 1985. "Public Expenditure and Economic Performance in OECD Countries," Journal of Public Policy, Cambridge University Press, vol. 5(1), pages 1-21, February.
    4. Gilles Mourre, 2009. "Underutilisation of Labour in (Continental Western) Europe: A Detailed GDP Accounting Perspective," Working Papers CEB 09-050.RS, ULB -- Universite Libre de Bruxelles.
    5. Rainer Klump & Peter McAdam & Alpo Willman, 2007. "The long-term sucCESs of the neoclassical growth model," Oxford Review of Economic Policy, Oxford University Press, vol. 23(1), pages 94-114, Spring.
    6. Gheorghe Zaman & Zizi Goschin, 2007. "Elasticity of Substitution for Production Functions in Romania and other Countries," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania - AGER, vol. 2(2(507)), pages 3-12, February.
    7. George Gelauff & Arjan Lejour, 2006. "Five Lisbon highlights; the economic impact of reaching these targets," CPB Document 104, CPB Netherlands Bureau for Economic Policy Analysis.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Matei, Ani & Matei, Lucica, 2011. "Knowledge marketing and development in the new knowledge-based economy," MPRA Paper 31474, University Library of Munich, Germany, revised 10 Jun 2011.
    2. Jacopo Torriti & Eka Ikpe, 2015. "Administrative costs of regulation and foreign direct investment: the Standard Cost Model in non-OECD countries," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 151(1), pages 127-144, February.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Matei, Ani & Matei, Lucica, 2011. "Knowledge marketing and development in the new knowledge-based economy," MPRA Paper 31474, University Library of Munich, Germany, revised 10 Jun 2011.
    2. Matei, Ani & Dinu, Teodora, 2009. "Improvement of Government Financing through Non-Conventional Methods: Reducing the Administrative Costs in the Public Sector," MPRA Paper 18905, University Library of Munich, Germany, revised 17 Jun 2009.
    3. Yazid Dissou & Lilia Karnizova & Qian Sun, 2015. "Industry-level Econometric Estimates of Energy-Capital-Labor Substitution with a Nested CES Production Function," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 43(1), pages 107-121, March.
    4. Slavica Penev & Andreaj Marusic, 2012. "Importance of the EU Integration Process for the Improvement of Legal Environment in Western Balkan Countries," Book Chapters, in: Paulino Teixeira & António Portugal Duarte & Srdjan Redzepagic & Dejan Eric (ed.), European Integration Process in Western Balkan Countries, edition 1, volume 1, chapter 27, pages 529-544, Institute of Economic Sciences.
    5. Lumengo Bonga‐bonga, 2009. "The South African Aggregate Production Function: Estimation Of The Constant Elasticity Of Substitution Function," South African Journal of Economics, Economic Society of South Africa, vol. 77(2), pages 332-349, June.
    6. Henryk Gurgul & Łukasz Lach & Roland Mestel, 2012. "The relationship between budgetary expenditure and economic growth in Poland," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 20(1), pages 161-182, March.
    7. Monika Marcinkowska, 2013. "Regulation and self-regulation in banking: in search of optimum," Bank i Kredyt, Narodowy Bank Polski, vol. 44(2), pages 119-158.
    8. Gurgul, Henryk & Lach, Łukasz, 2011. "Causality analysis between public expenditure and economic growth of Polish economy in last decade," MPRA Paper 52281, University Library of Munich, Germany.
    9. Sánchez, Marcelo, 2009. "National prices and wage setting in a currency union," Working Paper Series 1058, European Central Bank.
    10. Deniz GÜVERCİN, 2018. "Scale and Elasticity Properties of Turkish Agricultural Production Function: Political Economy Approach," Sosyoekonomi Journal, Sosyoekonomi Society, issue 26(37).
    11. Dadson Awunyo-Vitor & Ruby Adjoa Sackey, 2018. "Agricultural sector foreign direct investment and economic growth in Ghana," Journal of Innovation and Entrepreneurship, Springer, vol. 7(1), pages 1-15, December.
    12. Mallick, Debdulal, 2012. "The role of the elasticity of substitution in economic growth: A cross-country investigation," Labour Economics, Elsevier, vol. 19(5), pages 682-694.
    13. Dufourt, Frédéric & Venditti, Alain & Vivès, Rémi, 2018. "On sunspot fluctuations in variable capacity utilization models," Journal of Mathematical Economics, Elsevier, vol. 76(C), pages 80-94.
    14. Igor Fedotenkov, 2016. "Labour Shares, Fertility and Longevity in an OLG model," Bank of Lithuania Working Paper Series 28, Bank of Lithuania.
    15. Dieppe, Alistair & González Pandiella, Alberto & Willman, Alpo, 2012. "The ECB's New Multi-Country Model for the euro area: NMCM — Simulated with rational expectations," Economic Modelling, Elsevier, vol. 29(6), pages 2597-2614.
    16. Fritz Breuss, 2009. "Ten Years of EMU – Achievements, Weaknesses, Challenges," Austrian Economic Quarterly, WIFO, vol. 14(1), pages 49-72, April.
    17. Barnes, Sebastian & Price, Simon & Sebastia Barriel, Maria, 2008. "The elasticity of substitution: evidence from a UK firm-level data set," Bank of England working papers 348, Bank of England.
    18. Fritz Breuss, 2009. "Mangelnde "Europäisierung" der nationalen Konjunkturzyklen als Risiko für den Euro-Raum," WIFO Monatsberichte (monthly reports), WIFO, vol. 82(2), pages 125-138, February.
    19. Tirziu, Andreea-Maria & Vrabie, Catalin, 2017. "Stimulating youth entrepreneurship in the public sector's organizations," MPRA Paper 81319, University Library of Munich, Germany.
    20. Amin, Sakib & Jamasb, Tooraj & Nepal, Rabindra, 2021. "Regulatory reform and the relative efficacy of government versus private investment on energy consumption in South Asia," Economic Analysis and Policy, Elsevier, vol. 69(C), pages 421-433.

    More about this item

    Keywords

    reducing the administrative expenditures; financial crisis; efficiency; local governance;
    All these keywords.

    JEL classification:

    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:23085. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.