Journal Article

The Use and Usefulness of Performance Measures in the Public Sector

Carol Propper and Deborah Wilson

in Oxford Review of Economic Policy

Published on behalf of The Oxford Review of Economic Policy Ltd

Volume 19, issue 2, pages 250-267
Published in print June 2003 | ISSN: 0266-903X
Published online June 2003 | e-ISSN: 1460-2121 | DOI: http://dx.doi.org/10.1093/oxrep/19.2.250
The Use and Usefulness of Performance Measures in the Public Sector

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  • Economic Development and Growth
  • Public Economics
  • Political Economy
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The paper focuses on the empirical evidence on the use and usefulness of performance measures in the public sector. It begins with consideration of the features of the public sector which make the use of performance measures complex: the issues of multiple principals and multiple tasks. It discusses the form that performance measures may take, the use made of these measures, and the responses that individuals may make to them. Empirical examples from the fields of education and health, with a focus on the USA and UK, are examined. There is clear evidence of responses to such measures. Some of these responses improve efficiency, but others do not and fall into the category of ‘gaming’. Generally, there has been little assessment of whether performance measures bring about improvements in service. The paper ends with consideration of how such measures should be used and what measures are useful to collect.

Journal Article.  0 words. 

Subjects: Economic Development and Growth ; Public Economics ; Political Economy ; Public Policy

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