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Managerial Efficiency in Local Government: Implications on Jurisdictional Consolidation

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  • Deller, Steven C
  • Rudnicki, Edward

Abstract

Using data from Maine, estimates of size economies in the production of public education services are provided under the alternative assumptions of managerial efficiency and inefficiency. While size economies were identified under the traditional assumption of managerial efficiency, limited or no size economies were identified under the more general assumption of managerial inefficiency. These results question the validity of the traditional economies of size literature and the jurisdictional consolidation policy that follows from the traditional literature. Copyright 1992 by Kluwer Academic Publishers

Suggested Citation

  • Deller, Steven C & Rudnicki, Edward, 1992. "Managerial Efficiency in Local Government: Implications on Jurisdictional Consolidation," Public Choice, Springer, vol. 74(2), pages 221-231, September.
    • Handle: RePEc:kap:pubcho:v:74:y:1992:i:2:p:221-31
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    Cited by:

    1. William Duncombe & John Yinger, 2001. "Does School Consolidation Cut Costs?," Center for Policy Research Working Papers 33, Center for Policy Research, Maxwell School, Syracuse University.
    2. Mandy Kriese, 2008. "Effizienzanalyse der sächsischen Gemeinden," ifo Dresden berichtet, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 15(05), pages .3-13, October.
    3. Fox, William F. & Gurley, Tami, 2006. "Will consolidation improve sub-national governments ?," Policy Research Working Paper Series 3913, The World Bank.
    4. Andrew Worthington & Brian Dollery, 2000. "Efficiency Measurement in the Local Public Sector: Econometric and Mathematical Programming Frontier Techniques," School of Economics and Finance Discussion Papers and Working Papers Series 078, School of Economics and Finance, Queensland University of Technology.
    5. De Borger, Bruno & Kerstens, Kristiaan, 1996. "Cost efficiency of Belgian local governments: A comparative analysis of FDH, DEA, and econometric approaches," Regional Science and Urban Economics, Elsevier, vol. 26(2), pages 145-170, April.
    6. Angel Prieto & José L. Zofio & Inmaculada Alvarez, 2009. "Economías de escala, densidad y alcance en la provisión pública de infraestructura básica municipal," Hacienda Pública Española / Review of Public Economics, IEF, vol. 190(3), pages 59-94, September.
    7. Brasington, David M., 1999. "Joint provision of public goods: the consolidation of school districts," Journal of Public Economics, Elsevier, vol. 73(3), pages 373-393, September.
    8. José Luis Zafra-Gómez & Victor Giménez-García & Cristina María Campos-Alba & Emilio José Higuera-Molina, 2020. "Direct Management or Inter-Municipal Cooperation in Smaller Municipalities? Exploring Cost Efficiency and Installed Capacity in Drinking Water Supply," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 34(13), pages 4289-4302, October.
    9. Chrysovalantis Gaganis & Emilios Galariotis & Fotios Pasiouras & Christos Staikouras, 2021. "Macroprudential regulations and bank profit efficiency: international evidence," Journal of Regulatory Economics, Springer, vol. 59(2), pages 136-160, April.
    10. Juan Luis Gómez-Reino & Santiago Lago-Peñas & Jorge Martinez-Vazquez, 2021. "Evidence on Economies of Scale in Local Public Service Provision: A Meta-Analysis," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper2116, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    11. Jorge Martinez-Vazquez, 2013. "Fiscal Decentralization in Peru: A Perspective on Recent Developments and Future Challenges," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper1324, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    12. World Bank, 2013. "Service Delivery with More Districts in Uganda : Fiscal Challenges and Opportunities for Reforms," World Bank Publications - Reports 16012, The World Bank Group.
    13. Katsuyoshi Nakazawa, 2013. "Cost Inefficiency of Municipalities after Amalgamation," MAGKS Papers on Economics 201314, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    14. Nana Zubek & Christian H.C.A. Henning, 2016. "Local Government, Spatial Spillovers and the Absorption of EU Structural Funds," Journal of Agricultural Economics, Wiley Blackwell, vol. 67(2), pages 368-397, June.
    15. Balaguer-Coll, Maria Teresa & Prior, Diego & Tortosa-Ausina, Emili, 2007. "On the determinants of local government performance: A two-stage nonparametric approach," European Economic Review, Elsevier, vol. 51(2), pages 425-451, February.
    16. Colegrave, Andrew D. & Giles, Margaret J., 2008. "School cost functions: A meta-regression analysis," Economics of Education Review, Elsevier, vol. 27(6), pages 688-696, December.
    17. Francesca Bartolacci & Rosanna Salvia & Giovanni Quaranta & Luca Salvati, 2022. "Seeking the Optimal Dimension of Local Administrative Units: A Reflection on Urban Concentration and Changes in Municipal Size," Sustainability, MDPI, vol. 14(22), pages 1-17, November.
    18. Marius Sorin Dincă & Gheorghiţa Dincă & Maria Letiţia Andronic, 2016. "Efficiency and Sustainability of Local Public Goods and Services. Case Study for Romania," Sustainability, MDPI, vol. 8(8), pages 1-24, August.
    19. Akihiko Kawaura, 2010. "Self-Serving Mayors and Local Government Consolidations in Japan," Working Papers 201014, University of Hawaii at Manoa, Department of Economics.
    20. Alexander Ebertz & Mandy Kriese & Marcel Thum & Helke Seitz, 2008. "Bewertung von lokalen Standortfaktoren für Haushalte und Unternehmen in Sachsen: Entwicklung von Indikatoren zur Überprüfung der Demographietauglichkeit von Förderprojekten der Sächsischen Aufbaubank:," ifo Dresden Studien, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 46, May.
    21. Landon, Stuart, 1999. "Education costs and institutional structure," Economics of Education Review, Elsevier, vol. 18(3), pages 327-345, June.
    22. Hauner, David, 2008. "Explaining Differences in Public Sector Efficiency: Evidence from Russia's Regions," World Development, Elsevier, vol. 36(10), pages 1745-1765, October.
    23. Trueblood, Michael A. & Honadle, Beth Walter, 1994. "An Overview Of Factors Affecting The Size Of Local Government," Staff Papers 13688, University of Minnesota, Department of Applied Economics.
    24. Mandy Kriese, 2008. "Effizienzanalyse der sächsischen Gemeinden," ifo Dresden berichtet, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 15(05), pages 3-13, October.
    25. Andrews, Matthew & Duncombe, William & Yinger, John, 2002. "Revisiting economies of size in American education: are we any closer to a consensus?," Economics of Education Review, Elsevier, vol. 21(3), pages 245-262, June.

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