Government Spending on Health Care and Education in Croatia: Efficiency and Reform Options

Author/Editor:

Victoria Gunnarsson ; Etibar Jafarov

Publication Date:

May 1, 2008

Electronic Access:

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Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

This paper assesses the relative efficiency of government spending on health care and education in Croatia by using the so-called Data Envelopment Analysis. The analysis finds evidence of significant inefficiencies in Croatia's spending on health care and education, related to inadequate cost recovery, weaknesses in the financing mechanisms and institutional arrangements, weak competition in the provision of these services, and weaknesses in targeting public subsidies on health care and education. These inefficiencies suggest that government spending on health and education could be reduced without undue sacrifices in the quality of these services. The paper identifies ways to do that.

Series:

Working Paper No. 2008/136

Subject:

English

Publication Date:

May 1, 2008

ISBN/ISSN:

9781451869958/1018-5941

Stock No:

WPIEA2008136

Pages:

34

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