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Asset measurement in the costing of government services


  • Steering Committee for the Review of Commonwealth/State Service Provision


Differences in asset measurement techniques can have a major impact on reported capital costs. Their influence on total unit cost depends on the importance of capital costs as a proportion of total costs for the particular service area being studied. In the areas of corrective services, police services and public hospitals the results reported in this paper indicate that different methods of asset measurement could lead to quite large variations in reported capital costs. Considered in the context of total unit costs, however, the differences created by these asset measurement effects were relatively small as capital costs represent a relatively small proportion of total cost.

Suggested Citation

  • Steering Committee for the Review of Commonwealth/State Service Provision, 2001. "Asset measurement in the costing of government services," Public Economics 0108001, EconWPA.
  • Handle: RePEc:wpa:wuwppe:0108001
    Note: Type of Document - Word 97; prepared on IBM PC; to print on HP; pages: 86 ; figures: Nil

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    assets - asset - measurement - government services - government service provision - corrective services - police - housing - public hospitals - justice - courts;

    JEL classification:

    • D6 - Microeconomics - - Welfare Economics
    • D7 - Microeconomics - - Analysis of Collective Decision-Making
    • H - Public Economics

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