Arbeitspapier

Determinants of efficiency in child care provision

This article analyzes the efficiency in the provision of child care services at the municipal level and identifies the main determinants of inefficiency. We use a unique data set on the local child care expenditures in the eastern German State of Saxony. The analysis is performed in two stages. First, we measure the efficiency by using a Data Envelopment Analysis (DEA). Second, we consider political, fiscal and demographic variables in a truncated regression to identify the determinants of inefficiency. We find substantial differences in efficiency; the median municipality is up to 28% inefficient in expenditures on child care. Explanatory variables such as an uncompensated mayor or a larger share of over 65-year olds significantly increases inefficiency.

Language
Englisch

Bibliographic citation
Series: ifo Working Paper ; No. 83

Classification
Wirtschaft
Publicly Provided Private Goods
State and Local Budget and Expenditures
Fertility; Family Planning; Child Care; Children; Youth
Subject
Child care
efficiency analysis
municipalities
service provision
Kommunale Ausgaben
Kinderbetreuungseinrichtung
Wirtschaftliche Effizienz
Data-Envelopment-Analyse
Kommunalverwaltung
Sachsen

Event
Geistige Schöpfung
(who)
Montén, Anna
Thater, Christian
Event
Veröffentlichung
(who)
ifo Institute - Leibniz Institute for Economic Research at the University of Munich
(where)
Munich
(when)
2010

Handle
Last update
10.03.2025, 11:42 AM CET

Data provider

This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.

Object type

  • Arbeitspapier

Associated

  • Montén, Anna
  • Thater, Christian
  • ifo Institute - Leibniz Institute for Economic Research at the University of Munich

Time of origin

  • 2010

Other Objects (12)