GOVERNMENT EFFECTIVENESS IN EU MEMBER STATES

Government effectiveness is a general indicator providing a summary assessment of the quality of public administration in general depending on its regulatory system, of its impartiality and the quality of the services it provides. The Worldwide Governance Indicators developed by the World Bank summarizes information from 30 existing data sources on views and experiences of citizens, business people and experts in the public, private and NGO sectors. Government effectiveness captures perceptions of the quality of the public service, its degree of independence from political pressures, the quality of policy formulation and implementation and the credibility of the government to such policies.

Government effectiveness has a substantial impact on economic development and well-being. Low government effectiveness reduces the trust people have in public authorities, misdirects public services and investments, increases the cost of public projects and private enterprises and reduces the willingness of entrepreneurs and foreign direct investors to set up a new firm. Low government effectiveness disproportionately affects the poor, who depend more on public services and support. Corruption can also lead to higher levels of environmental pollution, by allowing illegal dumping of toxic waste. Low quality also reduces the impact of Cohesion Policy.

Government effectiveness varies substantially between EU Member States and improving government effectiveness is critical for the European Union.

Three distinct groups can be identified:

High Government Effectiveness: Austria, Denmark, Finland, Germany, Ireland, Luxembourg, Netherlands, Sweden and the United Kingdom.

Moderate Government Effectiveness: Belgium, Cyprus, Estonia, France, Malta, POrtugal, Slovenia and Spain.

Low Government Effectiveness: Bulgaria, Czech Republic, Greece, Hungary, Italy, Latvia, Lithuania, Poland, Romania and Slovakia.

Ranking (based on World Bank Indicators in 2011

1. Finland
2. Denmark
3. Sweden
4. Austria
5. Netherlands
6. Luxembourg
7. Belgium
8. United Kingdom
9. Germany
10. Cyprus
11. France
12. Ireland
13. Estonia
14. Malta
15. Portugal
16. Slovenia
17. Czech Republic
18. Spain
19. Slovakia
20. Lithuania
21. Poland
22. Latvia
23. Hungary
24. Greece
25. Italy
26. Bulgaria
27. Romania