Efficiency of Finnish Upper Secondary Schools: An Application of Stochastic Frontier Analysis with Panel Data
In this study the efficiency of Finnish upper secondary schools is evaluated with stochastic frontier analysis. Different stochastic frontier models for panel data are used to estimate education production functions. The results in matriculation examination are explained with comprehensive school grade point average, parents? socioeconomic background, resources, length of studies and decentralization of test taking on matriculation examination. Controls for schools with specialized curriculum are also included. The heterogeneity across schools is allowed by estimating both true random and true fixed effects models. The results show that the effect of teaching resources on examination results is even negative when the heterogeneity across schools is taken into account. Length of studies and decentralization of test taking affected negatively on student achievement. The inefficiency and the rankings of schools based on inefficiency score varied quite considerably depending on the type of stochastic frontier model. The lowest estimates for inefficiency were obtained with true random and true fixed effects models that separate time constant random or fixed effects from inefficiency.
|Date of creation:||08 Nov 2007|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: +358 295 519 400
Fax: +358 295 519 599
Web page: http://www.vatt.fi/
More information through EDIRC
|Order Information:|| Email: |
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.:
- Barrow, Michael M., 1991. "Measuring local education authority performance: A frontier approach," Economics of Education Review, Elsevier, vol. 10(1), pages 19-27, March.
- Eric A. Hanushek, 2002.
"The Failure of Input-based Schooling Policies,"
NBER Working Papers
9040, National Bureau of Economic Research, Inc.
- Meeusen, Wim & van den Broeck, Julien, 1977. "Efficiency Estimation from Cobb-Douglas Production Functions with Composed Error," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 18(2), pages 435-44, June.
- Cooper, Samuel T. & Cohn, Elchanan, 1997. "Estimation of a frontier production function for the South Carolina educational process," Economics of Education Review, Elsevier, vol. 16(3), pages 313-327, June.
- Aigner, Dennis & Lovell, C. A. Knox & Schmidt, Peter, 1977. "Formulation and estimation of stochastic frontier production function models," Journal of Econometrics, Elsevier, vol. 6(1), pages 21-37, July.
- Caroline M. Hoxby, 1998. "The Effects of Class Size and Composition on Student Achievement: New Evidence from Natural Population Variation," NBER Working Papers 6869, National Bureau of Economic Research, Inc.
- Alan B. Krueger, 2003.
"Economic Considerations and Class Size,"
Royal Economic Society, vol. 113(485), pages F34-F63, February.
- Alan B. Krueger, 2002. "Economic Considerations and Class Size," NBER Working Papers 8875, National Bureau of Economic Research, Inc.
- Alan B. Krueger, 2000. "Economic Considerations and class size," Working Papers 975, Princeton University, Woodrow Wilson School of Public and International Affairs, Center for Research on Child Wellbeing..
- Alan Krueger, 2000. "Economic Considerations and Class Size," Working Papers 826, Princeton University, Department of Economics, Industrial Relations Section..
- Pitt, Mark M. & Lee, Lung-Fei, 1981. "The measurement and sources of technical inefficiency in the Indonesian weaving industry," Journal of Development Economics, Elsevier, vol. 9(1), pages 43-64, August.
- Akerhielm, Karen, 1995. "Does class size matter?," Economics of Education Review, Elsevier, vol. 14(3), pages 229-241, September.
- Deller, Steven C. & Rudnicki, Edward, 1993. "Production efficiency in elementary education: The case of Maine public schools," Economics of Education Review, Elsevier, vol. 12(1), pages 45-57, March.
- Dan D. Goldhaber & Dominic J. Brewer, 1997. "Why Don't Schools and Teachers Seem to Matter? Assessing the Impact of Unobservables on Educational Productivity," Journal of Human Resources, University of Wisconsin Press, vol. 32(3), pages 505-523.
- Kumbhakar, Subal C., 1990. "Production frontiers, panel data, and time-varying technical inefficiency," Journal of Econometrics, Elsevier, vol. 46(1-2), pages 201-211.
- Alejandra Mizala & Pilar Romaguera & Dario Farren, 2002. "The technical efficiency of schools in Chile," Applied Economics, Taylor & Francis Journals, vol. 34(12), pages 1533-1552.
- Johnes, Geraint & Johnes, Jill, 2009.
"Higher education institutions' costs and efficiency: Taking the decomposition a further step,"
Economics of Education Review,
Elsevier, vol. 28(1), pages 107-113, February.
- G Johnes & J Johnes, 2005. "Higher education institutions' costs and efficiency: taking the decomposition a further step," Working Papers 574007, Lancaster University Management School, Economics Department.
- Sengupta, Jati K. & Sfeir, Raymond E., 1986. "Production frontier estimates of scale in public schools in California," Economics of Education Review, Elsevier, vol. 5(3), pages 297-307, June.
- Greene, William, 2005. "Reconsidering heterogeneity in panel data estimators of the stochastic frontier model," Journal of Econometrics, Elsevier, vol. 126(2), pages 269-303, June.
- Frédéric Gonand & Isabelle Joumard & Robert W.R. Price, 2007.
"Public Spending Efficiency: Institutional Indicators in Primary and Secondary Education,"
OECD Economics Department Working Papers
543, OECD Publishing.
- Joumard, Isabelle & Price, Robert & Gonand, Frédéric, 2007. "Public Spending Efficiency: Institutional Indicators in Primary and Secondary Education," Economics Papers from University Paris Dauphine 123456789/11017, Paris Dauphine University.
- repec:tpr:qjecon:v:114:y:1999:i:2:p:533-575 is not listed on IDEAS
- Cornwell, Christopher & Schmidt, Peter & Sickles, Robin C., 1990.
"Production frontiers with cross-sectional and time-series variation in efficiency levels,"
Journal of Econometrics,
Elsevier, vol. 46(1-2), pages 185-200.
- Cornwell, Christopher & Schmidt, Peter & Sickles, Robin C., 1989. "Production Frontiers With Cross-Sectinal And Time-Series Variation In Efficiency Levels," Working Papers 89-18, C.V. Starr Center for Applied Economics, New York University.
- Andrew Worthington, 2001. "An Empirical Survey of Frontier Efficiency Measurement Techniques in Education," Education Economics, Taylor & Francis Journals, vol. 9(3), pages 245-268.
- Battese, G E & Coelli, T J, 1995. "A Model for Technical Inefficiency Effects in a Stochastic Frontier Production Function for Panel Data," Empirical Economics, Springer, vol. 20(2), pages 325-32.
When requesting a correction, please mention this item's handle: RePEc:fer:dpaper:428. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Anita Niskanen)
If references are entirely missing, you can add them using this form.