De performantie van de overheid
This article examines whether the efficiency and effectiveness of the government linearly depends on the size of the public spending. We show that countries with a larger government do not systematically achieve better results than countries with a smaller government. Therefore, by the use of a specially tailored non-parametric model, we measure the performance of 23 OECD governments. The analysis is corrected for both macro and micro economical risks which influence the size of the public sector. For instance for Belgium, we find that, if the Belgian government would perform as efficient as its best practice, it could increase performances by 7.9% while decreasing its budget by 7.9%. Finally, the article verifies why some countries and regions are able to have a permanent higher economic welfare, while others do not.
Volume (Year): LIII (2008)
Issue (Month): 2 ()
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