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Measuring and ranking of economic, environmental and social efficiency of countries

Author

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  • Miki Malul
  • Yossi Hadad
  • Avner Ben‐Yair

Abstract

Purpose - The purpose of this paper is to measure and rank nation‐states' governance effectiveness and quality on a quantifying scientific basis, by means of data envelopment analysis. Design/methodology/approach - The principles are first analyzed from a theoretical and normative standpoint, linking to earlier literature. One dimension of the approach is adding the equality in income distribution as an output. Another dimension boils down to environmental performance. Findings - The addition of the Gini index affects the ranking of the developing countries in a more significant manner. Similar results are obtained when the authors add the environmental performance as an input. Another interesting result suggests that conventional ranking methods (i.e gross domestic product per capita or human development index) could be used for representing the country's efficiency only for developed countries. Research limitations/implications - Future research may be aimed at applying the developed methodology to more countries, both developed and developing, as well as considering inclusion of additional ranking parameters. Practical implications - The obtained procedure may be regarded as a comprehensive, holistic, mostly objective, and quantifiable method of ranking countries according to their governmental performance accomplishments. The addition of the Gini index and the environmental performance influences the ranking and is a significant improvement as compared to contemporary procedures. Originality/value - The innovation in this paper is that the authors suggest to measure efficiency of countries not only by their income, but also, looking on wider aspects of efficiency as equity and environmental performance.

Suggested Citation

  • Miki Malul & Yossi Hadad & Avner Ben‐Yair, 2009. "Measuring and ranking of economic, environmental and social efficiency of countries," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 36(8), pages 832-843, July.
  • Handle: RePEc:eme:ijsepp:v:36:y:2009:i:8:p:832-843
    DOI: 10.1108/03068290910967109
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    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
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    Cited by:

    1. Alexander Cotte Poveda & Clara Inés Pardo Martínez, 2011. "Las tendencias de la pobreza y la desigualdad: una evidencia para los departamentos de Colombia," Ensayos Revista de Economia, Universidad Autonoma de Nuevo Leon, Facultad de Economia, vol. 0(2), pages 29-50, November.
    2. Po-Chin Wu & Chiung-Wen Fan & Sheng-Chieh Pan, 2014. "Does Human Development Index Provide Rational Development Rankings? Evidence from Efficiency Rankings in Super Efficiency Model," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 116(2), pages 647-658, April.
    3. Sharon Hadad & Yossi Hadad & Miki Malul & Mosi Rosenboim, 2012. "Measuring and ranking structural economic efficiency: exploring the case of Spain compared to Germany," World Review of Entrepreneurship, Management and Sustainable Development, Inderscience Enterprises Ltd, vol. 8(1), pages 13-22.
    4. Alexander Cotte Poveda, 2012. "Estimating Effectiveness of the Control of Violence and Socioeconomic Development in Colombia: An Application of Dynamic Data Envelopment Analysis and Data Panel Approach," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 105(3), pages 343-366, February.
    5. Yi Liang & Xiaoli Hao, 2022. "Can the Agglomeration of New Energy Industries Improve Environmental Efficiency?—Evidence from China," Sustainability, MDPI, vol. 14(14), pages 1-22, July.
    6. Alexander Cotte Poveda, 2011. "Estimando la efectividad en el control de la violencia y el desarrollo socio-económico en Colombia," Serie de Documentos en Economía y Violencia 8079, Centro de Investigaciones en Violencia, Instituciones y Desarrollo Económico (VIDE).
    7. Alexander Cotte Poveda, 2011. "Estimating Effectiveness of the Control of Violence and Socioeconomic Development in Colombia: An Application of DEA and Data Panel Approach," Serie de Documentos en Economía y Violencia 8356, Centro de Investigaciones en Violencia, Instituciones y Desarrollo Económico (VIDE).
    8. Alexander Cotte, Poveda, 2011. "Economic development and growth in Colombia: An empirical analysis with super-efficiency DEA and panel data models," Socio-Economic Planning Sciences, Elsevier, vol. 45(4), pages 154-164, December.
    9. Diogo Ferraz & Enzo B. Mariano & Daisy Rebelatto & Dominik Hartmann, 2020. "Linking Human Development and the Financial Responsibility of Regions: Combined Index Proposals Using Methods from Data Envelopment Analysis," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 150(2), pages 439-478, July.
    10. Victoria Wojcik & Harald Dyckhoff & Marcel Clermont, 2019. "Is data envelopment analysis a suitable tool for performance measurement and benchmarking in non-production contexts?," Business Research, Springer;German Academic Association for Business Research, vol. 12(2), pages 559-595, December.
    11. Mariano, Enzo Barberio & Sobreiro, Vinicius Amorim & Rebelatto, Daisy Aparecida do Nascimento, 2015. "Human development and data envelopment analysis: A structured literature review," Omega, Elsevier, vol. 54(C), pages 33-49.
    12. Sharon Hadad & Yossi Hadad & Miki Malul & Mosi Rosenboim, 2012. "The Economic Efficiency of the Tourism Industry: A Global Comparison," Tourism Economics, , vol. 18(5), pages 931-940, October.

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