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Please use this identifier to cite or link to this item: http://hdl.handle.net/10400.5/2694

Title: Assessing and Explaining the Relative Efficiency of Local Government: Evidence for Portuguese Municipalities
Authors: Afonso, António
Fernandes, Sónia
Keywords: local government
expenditure efficiency
technical efficiency
DEA
Tobit models
Issue Date: 2005
Publisher: ISEG – Departamento de Economia
Citation: Afonso, António e Sónia Fernandes. 2005. "Assessing and Explaining the Relative Efficiency of Local Government: Evidence for Portuguese Municipalities". Instituto Superior de Economia e Gestão - DE Working papers nº 19-2005/DE/UECE
Series/Report no.: DE Working papers;nº 19-2005/DE/UECE
Abstract: In this paper we measure the relative efficiency of Portuguese local municipalities in a non-parametric framework approach using Data Envelopment Analysis. As an output measure we compute a composite local government output indicator of municipal performance. This allows assessing the extent of municipal spending that seems to be "wasted" relative to the "best-practice" frontier. Our results suggest that most municipalities could achieve, on average, the same level of output using fewer resources, improving performance without necessarily increasing municipal spending. Inefficiency scores are afterwards explained by means of a Tobit analysis with a set of relevant explanatory variables playing the role of non-discretionary inputs.
URI: http://hdl.handle.net/10400.5/2694
ISSN: 0874-4548
Publisher version: https://aquila1.iseg.utl.pt/aquila/getFile.do?method=getFile&fileId=26436
Appears in Collections:UECE - Documentos de Trabalho / UECE - Working Papers
DE - Documentos de trabalho / Working Papers

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