IDEAS home Printed from
MyIDEAS: Login to save this paper or follow this series

Analysing the effectiveness of public service producers with endogenous resourcing

  • David J. Mayston

One of the main motivations for productivity analysis is to assess the scope for overall improvements in the output possibilities of individual producers. At times of fiscal and government budgetary pressures, attention focuses particularly on the output potential of public service providers and its relationship to the inputs provided by government funding. Public services, such as education and healthcare, are themselves an important form of economic activity whose performance is of wide public interest, and which merit an adequate recognition of the richness of the additional considerations which may arise in making effectiveness assessments using frontier techniques such as Stochastic Frontier Analysis (SFA) and Data Envelopment Analysis (DEA). The interesting example of university Departments illustrates one such additional consideration, namely endogeneity of the available resource levels through their dependence on the Department’s achieved outputs of teaching and research. Fortunately progress can be made in the presence of such endogeneity through the application of SFA to the assessments of the overall effectiveness and performance of the public service provider, and their decomposition into both technical and allocative components, using the notion of an Achievement Possibility Set that includes the multiplier effects which such resource endogeneity generates.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:
File Function: Main text
Download Restriction: no

Paper provided by Department of Economics, University of York in its series Discussion Papers with number 12/30.

in new window

Date of creation: Nov 2012
Date of revision:
Handle: RePEc:yor:yorken:12/30
Contact details of provider: Postal: Department of Economics and Related Studies, University of York, York, YO10 5DD, United Kingdom
Phone: (0)1904 323776
Fax: (0)1904 323759
Web page:

More information through EDIRC

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.:

as in new window
  1. Bruce Hollingsworth, 2008. "The measurement of efficiency and productivity of health care delivery," Health Economics, John Wiley & Sons, Ltd., vol. 17(10), pages 1107-1128.
  2. 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.
  3. Atkinson, Scott E. & Primont, Daniel, 2002. "Stochastic estimation of firm technology, inefficiency, and productivity growth using shadow cost and distance functions," Journal of Econometrics, Elsevier, vol. 108(2), pages 203-225, June.
  4. 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.
Full references (including those not matched with items on IDEAS)

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:yor:yorken:12/30. 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: (Paul Hodgson)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.