Measuring and Explaining Government Inefficiency in Developing Countries

Nicolas Van de Sijpe and Glenn Rayp

Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium from Ghent University, Faculty of Economics and Business Administration

Abstract: We show the relevance of government expenditure inefficiency using the Barro(1990) model. We estimate government inefficiency for 52 developing countries using a data envelopment analysis. The estimated inefficiencies are subsequently used in a general-to-specific approach in order to identify their determinants. We find the government expenditure inefficiency is primarily determined by governance and political variables, and structural country variables. Economic policy determinants apparently count less. Government inefficiency of the Sub Saharan countries in the sample is substantially higher.

Keywords: Government inefficiency; data envelopment analysis; economic development (search for similar items in EconPapers)
JEL-codes: H21 H50 O23 (search for similar items in EconPapers)
Pages: 37 pages
Date: 2004-10
New Economics Papers: this item is included in nep-dev
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Citations: View citations in EconPapers (2)

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http://wps-feb.ugent.be/Papers/wp_04_266.pdf (application/pdf)

Related works:
Journal Article: Measuring and explaining government efficiency in developing countries (2007)
Working Paper: Measuring and Explaining Government Inefficiency in Developing Countries (2005)
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Persistent link: https://EconPapers.repec.org/RePEc:rug:rugwps:04/266

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