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Efficiency of Government Social Spending in Croatia

Etibar Jafarov and Victoria Gunnarsson
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Etibar Jafarov: International Monetary Fund, Washington, USA
Victoria Gunnarsson: International Monetary Fund, Washington, USA

Financial Theory and Practice, 2008, vol. 32, issue 3, 289-320

Abstract: This paper analyzes the relative efficiency of social spending and service delivery in Croatia by comparing social spending and key social (outcome) indicators in Croatia to those of comparator countries. The analysis finds evidence of significant inefficiencies in Croatia’s social spending, mainly related to inadequate cost recovery for health and education services, weaknesses in the financing mechanisms and institutional arrangements, weak competition in the provision of social services, and weaknesses in targeting benefits. The paper also identifies areas for cost recovery and reform.

Keywords: Expenditure efficiency; health care spending; education spending; social protection spending (search for similar items in EconPapers)
Date: 2008
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Handle: RePEc:ipf:finteo:v:32:y:2008:i:3:p:289-320