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What can we learn about country performance from conditional comparisons across countries?

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Author Info
Ravallion, Martin

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Abstract

There have been many attempts to infer latent performance attributes of governments (or other institutions) from conditional comparisons that control for observed variables. Success in doing do could greatly improve government performance. The author critically reviews the econometric foundations of the methods used. He argues that latent heterogeneity remains a fundamental, but unresolved problem. Locating a benchmark for measuring performance, adds a further problem. Current methods do not yield a consistent estimate of even the mean latent performance attribute. An assessment of country performance by these methods could well be wildly wrong.

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Paper provided by The World Bank in its series Policy Research Working Paper Series with number 2342.

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Date of creation: 31 May 2000
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Handle: RePEc:wbk:wbrwps:2342

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Related research
Keywords: Environmental Economics&Policies; Services&Transfers to Poor; Public Health Promotion; Health Economics&Finance; Health Monitoring&Evaluation; Health Economics&Finance; Rural Poverty Reduction; Services&Transfers to Poor; Achieving Shared Growth; Safety Nets and Transfers;

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. James Heckman & Hidehiko Ichimura & Jeffrey Smith & Petra Todd, 1998. "Characterizing Selection Bias Using Experimental Data," Econometrica, Econometric Society, vol. 66(5), pages 1017-1098, September.
    Other versions:
  2. Bidani, Benu & Ravallion, Martin, 1997. "Decomposing social indicators using distributional data," Journal of Econometrics, Elsevier, vol. 77(1), pages 125-139, March. [Downloadable!] (restricted)
    Other versions:
  3. Ravallion, Martin, 1997. "Good and bad growth: The human development reports," World Development, Elsevier, vol. 25(5), pages 631-638, May. [Downloadable!] (restricted)
  4. Sen, Amartya, 1981. "Public Action and the Quality of Life in Developing Countries," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 43(4), pages 287-319, November.
  5. Aturupane, Harsha & Glewwe, Paul & Isenman, Paul, 1994. "Poverty, Human Development, and Growth: An Emerging Consensus?," American Economic Review, American Economic Association, vol. 84(2), pages 244-49, May. [Downloadable!] (restricted)
  6. Patrick Van Houdt, 1997. "Do Labor Market Policies and Growth Fundamentals Matter for Income Inequality in OECD Countries? Some Empirical Evidence," IMF Working Papers 97/3, International Monetary Fund.
  7. Bhalla, Surjit S & Glewwe, Paul, 1986. "Growth and Equity in Developing Countries: A Reinterpretation of the Sri Lankan Experience," World Bank Economic Review, Oxford University Press, vol. 1(1), pages 35-63, September.
  8. Kakwani, N., 1993. "Performance in living standards : An international comparison," Journal of Development Economics, Elsevier, vol. 41(2), pages 307-336, August. [Downloadable!] (restricted)
  9. Alejandro Ramirez & Gustav Ranis & Frances Stewart, . "Economic Growth and Human Development -," QEH Working Papers qehwps18, Queen Elizabeth House, University of Oxford. [Downloadable!]
  10. Anand, Sudhir & Ravallion, Martin, 1993. "Human Development in Poor Countries: On the Role of Private Incomes and Public Services," Journal of Economic Perspectives, American Economic Association, vol. 7(1), pages 133-50, Winter. [Downloadable!] (restricted)
  11. Gouyette, Claudine & Pestieau, Pierre, 1999. "Efficiency of the Welfare State," Kyklos, Blackwell Publishing, vol. 52(4), pages 537-53.
  12. Joseph Tracy & Joel Waldfogel, 1994. "The Best Business Schools: A Market Based Approach," NBER Working Papers 4609, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  13. Ranis, Gustav & Stewart, Frances & Ramirez, Alejandro, 2000. "Economic Growth and Human Development," World Development, Elsevier, vol. 28(2), pages 197-219, February. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Christiaensen, Luc & Scott, Christopher & Wodon, Quentin, 2002. "Cibles du développement et coûts
    [Development targets and costs]    ," MPRA Paper 10494, University Library of Munich, Germany. [Downloadable!]
  2. Christiaensen, Luc & Scott, Christopher & Wodon, Quentin, 2002. "Development Targets and Costs," MPRA Paper 12299, University Library of Munich, Germany. [Downloadable!]
  3. Christiaensen, Luc & Scott, Christopher & Wodon, Quentin, 2002. "Задачи Развития И Затраты
    [Development targets and costs]    ," MPRA Paper 10495, University Library of Munich, Germany. [Downloadable!]
  4. Christiaensen, Luc & Scott, Christopher & Wodon, Quentin, 2002. "Metas y costos del desarrollo
    [Development Targets and Costs]    ," MPRA Paper 10493, University Library of Munich, Germany. [Downloadable!]
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