United Liberty
Educators
Possible Contributing Reason To Why Education, Government Industries Generally Have Performance Lag
Thu, 11/13/2008 - 1:56pm | posted by Austin Wilkes
It is is a widely held assumption (whether right or wrong is not the point of this post) that governments, the education industry, and healthcare industry generally are less efficient than other industries, such as technology. The high of levels of typical annual costs growth in these industries, often well above the rate of inflation, gives some statistical data to back up these “peformance lag” perceptions. Assuming that the perception of a peformance lag in these industries is correct, then why is this the case? The reasons are countless, with many coming down to basic organizational, pricing, and incentive structures. But there is an additional factor (the extent of importance which is unknown) of who is in these industries.
