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The relative efficiency of education and R&D expenditures in the new EU member states

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  • Aleksander Aristovnik

Abstract

The paper attempts to measure relative efficiency in utilizing public education and R&D expenditures in the new EU member states in comparison to the selected EU (plus Croatia) and OECD countries. As resources allocated to education and R&D sector are significantly limited, a special emphasis should be given to their efficient use regarding the institutional and legal constraints. By applying non-parametric methodology, i.e. Data Envelopment Analysis (DEA), a relative efficiency is defined as the deviation from the efficiency frontier which represents the maximum output/outcome attainable from each input level. An analysis of (output-oriented) efficiency measures shows that among the new EU member states Hungary, Estonia and Slovenia seem to be good benchmark countries in the field of primary, secondary and tertiary education, respectively. On the other hand, Cyprus and again Hungary dominate in the field of R&D sector, even if for different reasons. The empirical results also suggest that, in general, new EU member states show relatively high efficiency in tertiary education, while lag well behind in the R&D efficiency measures.

Suggested Citation

  • Aleksander Aristovnik, 2011. "The relative efficiency of education and R&D expenditures in the new EU member states," Journal of Business Economics and Management, Taylor & Francis Journals, vol. 13(5), pages 832-848, August.
    • Handle: RePEc:taf:jbemgt:v:13:y:2011:i:5:p:832-848
    DOI: 10.3846/16111699.2011.620167
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    1. Marinko Škare & Danijela Rabar, 2016. "Measuring Economic Growth Using Data Envelopment Analysis," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 18(42), pages 386-386, May.
    2. Mitja Ruzzier & Tanja Kosi AntoliÄ & Doris Gomezelj Omerzel, 2016. "R%D and education resources in innovation processes: evidence from Slovenia and the Visegrad Group," International Journal of Sustainable Economy, Inderscience Enterprises Ltd, vol. 8(2), pages 144-162.
    3. Lela Tijanic & Alka Obadic, 2015. "Regional Competitiveness Of The European Union," Economy of eastern Croatia yesterday, today, tommorow, Josip Juraj Strossmayer University of Osijek, Faculty of Economics, Croatia, vol. 4, pages 768-777.
    4. Saksonova Svetlana & Vilerts Kārlis, 2015. "Measuring Returns to Education: The Case of Latvia," Scientific Annals of Economics and Business, Sciendo, vol. 62(2), pages 252-262, July.
    5. Aleksander Aristovnik & Alka Obadic, 2015. "The impact and efficiency of public administration excellence on fostering SMEs in EU countries," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 17(39), pages 761-761, May.
    6. Lena Maleševic Perovic & Silvia Golem & Maja Mihaljevic Kosor, 2016. "Convergence in Government Spending Components in EU15: A Spatial Econometric Perspective," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 18(42), pages 240-240, May.
    7. Dejan Ravšelj & Aleksander Aristovnik, 2017. "R&D Subsidies as Drivers of Corporate Performance in Slovenia: The Regional Perspective," DANUBE: Law and Economics Review, European Association Comenius - EACO, issue 2, pages 79-95, June.
    8. Aristovnik, Aleksander & Obadić, Alka, 2014. "Measuring relative efficiency of secondary education in selected EU and OECD countries: the case of Slovenia and Croatia," MPRA Paper 63936, University Library of Munich, Germany.
    9. Aristovnik, Aleksander, 2014. "Efficiency of the R&D Sector in the EU-27 at the Regional Level: An Application of DEA," MPRA Paper 59081, University Library of Munich, Germany.

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