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Local Government Efficiency: The Case of Moroccan Municipalities

Rachida El Mehdi and Christian Hafner ()

African Development Review, 2014, vol. 26, issue 1, (88–101

Abstract: In times of tight public budgets and deficits, the topic of measuring local government efficiency increasingly becomes important, both for policymakers in the central governments, and for researchers working on the methodology. In this work we focus on measuring the efficiency of Moroccan municipalities in terms of their financial autonomy in 1998/99. We use traditional non-parametric approaches, the Data Envelopment Analysis (DEA) and the Free Disposal Hull (FDH), combined with bias corrections using the bootstrap, which also allows us to construct confidence intervals for the estimated efficiencies, and test for the returns to scale. Our results indicate that very few municipalities are efficient or close to the frontier. Both DEA and FDH efficiency scores indicate that there is a negative relation between population size and efficiency scores, which is unlike previous studies for other countries.

Date: 2014
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Journal Article: Local Government Efficiency: The Case of Moroccan Municipalities (2014) Downloads
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Working Paper: Local government efficiency: The case of Moroccan municipalities (2013) Downloads
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