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Measuring Potential Efficiency Gains from Mergers of Italian First Instance Courts through Nonparametric Model

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  • Massimo Finocchiaro Castro
  • Calogero Guccio

Abstract

In several countries, economic development has boosted the mobility of population, changing the distribution of litigation. Hence, the increasing difference between the new demand of legal services and the old judicial maps has increased processing time and backlog, therefore, badly affecting judiciary efficiency. These issues are particular relevant for the Italian judicial system because of the Italian government’s proposal (decree n. 155/2012) of new judicial map of first instance courts. The courts’ reorganization has been achieved through the horizontal merger of some courts and the abolition of all local courthouses. This article represents the first attempts at measuring the potential performance improvements achieved by the enforced reform. For this purpose, we compare the efficiency levels of Italian first instance courts in 2011 with those reached by the new judicial map. Our results show not negligible efficiency gains from the proposed mergers under the variable returns to scale technology assumption.

Suggested Citation

  • Massimo Finocchiaro Castro & Calogero Guccio, 2018. "Measuring Potential Efficiency Gains from Mergers of Italian First Instance Courts through Nonparametric Model," Public Finance Review, , vol. 46(1), pages 83-116, January.
  • Handle: RePEc:sae:pubfin:v:46:y:2018:i:1:p:83-116
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    3. Pontus Mattsson & Jonas Månsson & Christian Andersson & Fredrik Bonander, 2018. "A bootstrapped Malmquist index applied to Swedish district courts," European Journal of Law and Economics, Springer, vol. 46(1), pages 109-139, August.
    4. Contreras, I. & Lozano, S., 2022. "Size efficiency, splits and merger gains, and centralized resource reallocation of Spanish public universities," Socio-Economic Planning Sciences, Elsevier, vol. 81(C).
    5. Francesco Aiello & Graziella Bonanno & Francesco Foglia, 2021. "On The Heterogeneity In The Judicial Efficiency Literature: A Meta-Regression Analysis," Working Papers 202102, Università della Calabria, Dipartimento di Economia, Statistica e Finanza "Giovanni Anania" - DESF.
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    7. Chen, Xiaoqing & Kerstens, Kristiaan & Tsionas, Mike, 2024. "Does productivity change at all in Swedish district courts? Empirical analysis focusing on horizontal mergers," Socio-Economic Planning Sciences, Elsevier, vol. 91(C).
    8. Per J. Agrell & Pontus Mattsson & Jonas Månsson, 2020. "Impacts on efficiency of merging the Swedish district courts," Annals of Operations Research, Springer, vol. 288(2), pages 653-679, May.
    9. Xiaoqing Chen & Kristiaan Kerstens & Qingyuan Zhu, 2021. "Exploring Horizontal Mergers in Swedish District Courts Using Convex and Nonconvex Technologies: Usefulness of a Conservative Approach," Working Papers 2021-EQM-05, IESEG School of Management.
    10. Jonas Månsson & Christian Andersson & Fredrik Bonander, 2022. "What lessons can be learned from cost efficiency? The case of Swedish district courts," European Journal of Law and Economics, Springer, vol. 54(3), pages 431-451, December.
    11. Biresh K. Sahoo & Kaoru Tone, 2022. "Evaluating the potential efficiency gains from optimal industry configuration: A case of life insurance industry of India," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(8), pages 3996-4009, December.
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    15. Falavigna, G. & Ippoliti, R., 2021. "Reform policy to increase the judicial efficiency in Italy: The opportunity offered by EU post-Covid funds," Journal of Policy Modeling, Elsevier, vol. 43(5), pages 923-943.

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