ISBN: 978-981-08-8407-9
Authors: Habip Koçak and Ahmet Mete Çilingirtürk
Abstract:
Efficient public finance budgeting is a major challenge for governments. Monetary output based efficiency analysis do not present, how well they overcome this aim, because public utility exceeds quantitative outputs in social societies. However, PISA research measures the quality of the education service. So, it is possible to analyze the efficiency of the quality of public finance in education sector using well known Data Envelopment Analysis on OECD (Organization for Economic Co-operation and Development) countries data. Expected results are that neither the “monetary input” nor the “physical input” efficiency studies deliver consistent results which clearly limits the political usefulness of such studies, e.g. the potential range for expenditure cuts remains unclear. Nevertheless such studies are regarded as a valuable starting point for political discussion.
The aim of this paper is to update the efficiency scoring of the OECD countries according to the current (2010) PISA scores. Furthermore, it aims also to show that the BBC model which do not have VRS (Variable Returns to Scale) assumption and convexity constraits for inputs will result the same country classification as in literature without the usage of environmental variables.
Keywords: Efficiency; Public Education Spending; Data Envelopment Analysis; OECD countries; Program for International Student Assessment (PISA)
Updating...