This chapter conducts a review of the literature dealing with overall public sector performance and efficiency, it defines a methodology to assess public sector efficiency and it creates a novel and large cross-sectional panel dataset of government indicators and public sector efficiency scores....

In this paper we revisit the literature on the economic consequences from inefficiency in public services provision. Following Dupuit (1844) and Pigou (1947) we argue that it is important to take the financing side explicitly into account. The fact that public expenditure financing must rely on...