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Inter-country comparisons of volumes and prices: non-market education services Alain Gallais, OECD/STD/NAFS Alwyn Pritchard, ONS/UKCeMGA Workshop on Measurement.

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Presentation on theme: "Inter-country comparisons of volumes and prices: non-market education services Alain Gallais, OECD/STD/NAFS Alwyn Pritchard, ONS/UKCeMGA Workshop on Measurement."— Presentation transcript:

1 Inter-country comparisons of volumes and prices: non-market education services Alain Gallais, OECD/STD/NAFS Alwyn Pritchard, ONS/UKCeMGA Workshop on Measurement of Non-market Output in education and health, London, October 3-5, 2006

2 Aim of presentation Recap on how recent national accounts principles measure growth of volume of public services produced in each country Propose way in which these principles might be applied to compare levels of production between countries, in particular, per student, per pupil

3 Basis of education volume index Number of pupils Quality of education provided Auxiliary services Transferred knowledge = f (no. of enrolled pupils, incremental contribution to level of skills and knowledge) Each level of education weighted by its cost Pupil year of secondary education adds more to GDP than pupil year of primary

4 Types of comparisons Time series For each country, measures year on year growth Common methodological framework Cross section Compares levels between countries in same year

5 Primary spending per student, 2002 CountrySpending* United Kingdom5062 France4790 Ireland3837 Sweden6765 Korea3181 Finland4434 USA8049 * Converted to US$ at purchasing power parities (private consumption). Source: OECD

6 Examples of comparisons between countries Total volume of education, healthcare etc provided Volume produced per head of population Unit cost of production Requires leadership from international organisations

7 Comparing spending and possible volume measures, per primary student CountrySpending United Kingdom63 France60 Ireland48 Sweden84 Korea40 Finland55 USA100 USA = 100

8 Comparing spending and possible volume measures, per primary student CountrySpendingEqual quality United Kingdom63100 France60100 Ireland48100 Sweden84100 Korea40100 Finland55100 USA100 USA = 100

9 Comparing spending and possible volume measures, per primary student CountrySpendingEqual quality Test results United Kingdom63100110 France60100106 Ireland48100104 Sweden84100105 Korea40100112 Finland55100113 USA100 USA = 100

10 How valid is this approach? Arbitrary? UK = 110; why not 120? OECD standardise on mean of 500, s.d. of 100 1standard deviation  20% increase in score Research: 20% increase in score  20% higher earnings in later life

11 Correction for economic and socio- cultural differences between countries CountryPISA 2003 score PISA 2003 corrected score Finland544536 France511516 Ireland503506 Korea542547 Norway495469 USA483470 Sweden509499

12 Time-lag between output and outcome: lower secondary grades Grade \ year of outcome2000200120022003 9th grade 14-15 year old 8th grade 13-14 year old 7th grade 12-13 year old 6th grade 11-12 year old PISA 2003 Year of teaching : 2000

13 Time-lag between output and outcome: lower secondary grades Grade \ year of outcome2000200120022003 9th grade 14-15 year old PISA 2000 8th grade 13-14 year old 7th grade 12-13 year old 6th grade 11-12 year old PISA 2003 Year of teaching : 2000

14 Time-lag between output and outcome: lower secondary grades Grade \ year of outcome2000200120022003 9th grade 14-15 year old PISA 2000 8th grade 13-14 year old 7th grade 12-13 year old 1/3 PISA 2000 + 2/3 PISA 2003 6th grade 11-12 year old PISA 2003 Year of teaching : 2000

15 Time-lag between output and outcome: lower secondary grades Grade \ year of outcome2000200120022003 9th grade 14-15 year old PISA 2000 8th grade 13-14 year old 2/3 PISA 2000 + 1/3 PISA 2003 7th grade 12-13 year old 1/3 PISA 2000 + 2/3 PISA 2003 6th grade 11-12 year old PISA 2003 Year of teaching : 2000

16 Time-lag output to outcome Years of teaching lower secondary (hypothesis of 4 years) Primary (hypothesis of 5 years) 2000 1/2 PISA 2000 + 1/2 PISA 2003 1/5 PISA 2003 + 3/5 PISA 2006 + 1/5 PISA 2009 2001 1/4 PISA 2000 + 2/3 PISA 2003 + 1/12 PISA 2006 1/15 PISA 2003 + 8/15 PISA 2006 + 6/15 PISA 2009 2002 1/12 PISA 2000 + 2/3 PISA 2003 + 1/4 PISA 2006 6/15 PISA 2006 + 8/15 PISA 2009 + 1/15 PISA 2012 2003 1/2 PISA 2003 + 1/2 PISA 2006 1/5 PISA 2006 + 3/5 PISA 2009 + 1/5 PISA 2012

17 Conclusions, issues Much interest in public services and in comparisons between countries But this is about method, not results Do we stand to gain from using this approach?

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