Publication: Is Public Sector Performance just a matter of money? The case of the Spanish regional governments
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2019
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Instituto Complutense de Estudios Internacionales (ICEI)
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Abstract
Efficient use of public resources is clearly a relevant issue to be studied from several points of view. Among others, it accounts for a significant share of the total economy activity and it deals with non market oriented activities. In Spain, the regional level is particularly relevant due to the progressive decentralization during the 200s of key public policies constituting the welfare state (as education, health, etc.). Consequently,it increased notably their financing needs but affecting asymmetrically because of the important differences in their fiscal capacity. Moreover, they mostly share (15 of 17) a common financing system in which an efficient use of resources is assumed but not evaluated. Our results show that normally a few of the regions tend to be the top performers, but there no regions performing poorly in every aspect. It is also worth noting that no dramatic changes can be seen in terms both of expenditure and performance during the recent Great Recession.
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Earlier versions of this note were presented at XXV Spanish Meeting on Public Economics (Valencia, Spain, January 25-26, 2018), the ICEI’s Seminar of Research (March 1, 2018), the XXI Applied Economics Meeting (Alcalá de Henares, Spain, June 7-8, 2018) and the Workshop on Public Policy Evaluation (Oviedo, January 24-25, 2019). We gratefully acknowledge the useful comments and suggestions received from E. Murillo and other participants in the abovementioned meetings and seminar. All the remaining mistakes are entirely our responsibility. R. García-Gómez thanks the hospitality and financing of the Complutense Institute of International Studies. J. Onrubia acknowledges the financial support of Spanish Ministry of Science, Innovation and Universities (before Ministry of Economy and Competitiveness), Project ECO2016-76506-C4-3-R. Sáchez.-Fuentes acknowledges the financial support of the Regional Government of Andalusia (project SEJ 2512).
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