In this blog piece — the second of a four-part series on unit cost budgeting — I look at why unit cost budgeting cannot be applied to outputs which are highly “heterogeneous,” of which there are many in government. This is one of the main reasons why unit cost budgeting should be viewed as a […]
Funding public services based on output unit costs is a great idea. However, it only works for selected government services. The idea that the entire government budget should be based on output unit costs is therefore misguided. This series of four blog pieces looks at why this is a tool with strictly limited application in […]