Merit rating and formula‐based resource allocation
International Journal of Educational Management
ISSN: 0951-354X
Article publication date: 1 June 2000
Abstract
Formula‐based allocation schemes are often proposed as a means of making the allocations of public funding more equitable, and more efficient. Unfortunately, these goals may be undermined by imperfect measures of merit. In particular, if the measures are subject to random variation or manipulation, the formula‐based schemes may lead to disincentives and lack of efficiency. Develops a simplified model of a hierarchical allocation system and analyse stochastic models for the most important sources of variation in the system. Practical proposals for limiting the variability are studied and the framework is applied to the Finnish university system.
Keywords
Citation
Alho, J.M. and Salo, M.A. (2000), "Merit rating and formula‐based resource allocation", International Journal of Educational Management, Vol. 14 No. 3, pp. 95-100. https://doi.org/10.1108/09513540010322366
Publisher
:MCB UP Ltd
Copyright © 2000, MCB UP Limited