Abstract
The idea that higher education institutions receiving public funds should be accountable for working towards socially desirable goals became increasingly popular on both sides of the Atlantic since the early 1990s. Policies have been introduced to promote accountability in higher education, including various models of performance assessment and performance, or output-based, funding. This paper offers an overview of recent empirical research on performance funding policies in the US and Europe. It compares and contrasts findings from multi-state stakeholder analyses, along with a review of preliminary evidence on the impact of performance funding policies on institutional behaviour and institutional performance. The systematic review of research evidence reveals that higher education institutions with a joint teaching-research mission are more likely to oppose performance funding measures than other academic and non-academic stakeholders, and that academic stakeholders consider performance funds an additional revenue source. The impact of performance funding policies on institutional behaviour and performance is found to be modest at best across studies.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Bagues, M., Labini, M. S., & Zinovyeva, N. (2008). Differential grading standards and university funding: Evidence from Italy (Fundación de Estudios de Economía Aplicada Working Paper 2008-07). Retrieved from http://www.fedea.es/pub/papers/2008/dt2008-07.pdf
Barnetson, B., & Cutright, M. (2000). Performance indicators as conceptual technologies. Higher Education, 40, 277–292.
Burke, J. C. (1998). Performance funding indicators: Concerns, values and models for state colleges and universities. New Directions for Institutional Research, 97, 49–60.
Burke, J. C., & Minassians, H. (2003). Performance reporting: “Real” accountability or accountability “lite” (Seventh annual survey 2003). Albany: SUNY. Retrieved from http://www.rockinst.org/pdf/education/2003-performance_reporting_real_accountability_or_accountability_lite_seventh_annual_survey_2003.pdf
Dougherty, K., & Reid, M. (2007). Fifty states of achieving the dream: State policies to enhance access to and success in community colleges across the United States (CCRC Working Paper). Retrieved from http://www.achievingthedream.org/_images/_index03/DoughertyReid_Fifty_StatesofPolicy4907.pdf
Dougherty, K. J., Natow, R. S., Hare, R. J., & Vega, B. E. (2010). The political origins of state-level performance funding for higher education: The cases of Florida, Illinois, Missouri, South Carolina, Tennessee and Washington. Teachers College Record, 114(3), 2012. http://www.tcrecord.org. ID Number: 16313.
Frøhlich, N., Kalpazidou Schmidt, E., & Rosa, M. J. (2010). Funding systems for higher education and their impacts on institutional strategies and academia. International Journal of Educational Management, 24(1), 7–21.
Harnisch, T. L. (2011). Performance-based funding: A re-emerging strategy in public higher education financing. American Association of State Colleges and Universities, Higher Education Policy Brief, Washington, DC, June 2010. Retrieved from http://www.aascu.org/uploadedFiles/AASCU/Content/Root/PolicyAndAdvocacy/PolicyPublications/Performance_Funding_AASCU_June2011.pdf
Herbst, M. (2007). Financing public universities. The case of performance funding. Dordrecht: Springer.
Hicklin-Fryar, A. (2011). The disparate impacts of accountability – Searching for causal mechanisms (Conference Paper). Syracuse, NY. Retrieved from http://www1.maxwell.syr.edu/uploadedFiles/conferences/pmrc/Files/HicklinFryar_TheDisparateImpactsofAccountabilitySearchingforCausalMechanisms.pdf
Huisman, J., & Currie, J. (2004). Accountability in higher education: Bridge over troubled water? Higher Education, 48, 529–551.
Jongbloed, B. (2008). Creating public-private dynamics in higher education funding. In J. E. Enders & B. Jongbloed (Eds.), Public-private dynamics in higher education: Expectations, developments and outcomes (pp. 113–138). Bielefeld: Transcript Verlag.
Jongbloed, B., & Vossensteyn, H. (2001). Keeping up performances: An international survey of performance-based funding in higher education. Journal of Higher Education Policy and Management, 23(2), 127–145.
Martinez, M. C., & Nilson, M. (2006). Assessing the connection between higher education policy and performance. Educational Policy, 20(2), 299–322.
McLendon, M. K., Hearn, J. C., & Deaton, R. (2006). Called to account: Analyzing the origins and spread of state performance-accountability policies for higher education. Educational Evaluation and Policy Analysis, 28(1), 1–24.
Metz, T. (2011). Accountability in higher education: A comprehensive analytical framework. Theory and Research in Education, 9(1), 41–58.
Midwestern Higher Education Compact. (2009, February). Completion-based funding for higher education (Working Paper). Minneapolis: Midwestern Higher Education Compact. Retrieved from http://www.mhec.org/pdfs/0209completionbasedfunding.pdf
Rabovsky, T. (2011). Accountability in higher education: Exploring impacts on state budgets and institutional spending (Conference Paper). Syracuse, NY. Retrieved from http://www1.maxwell.syr.edu/uploadedFiles/conferences/pmrc/Files/rabovsky_Accountability%20in%20Higher%20Education%20Exploring%20Impacts%20on%20State%20Budgets%20and%20Institutional%20Spending%20Patterns.pdf
Rhoades, G., & Sporn, B. (2002). Quality assurance in Europe and the U.S.: Professional and political economic framing of higher education policy. Higher Education, 43, 355–390.
Romzek, B. S. (2000). Dynamics of public accountability in an era of reform. International Review of Administrative Sciences, 66(1), 21–44.
Serban, A. M. (1998). Performance funding criteria, levels, and methods. New Directions for Institutional Research, 97, 61–67.
Shin, J. C. (2010). Impacts of performance-based accountability on institutional performance in the U.S. Higher Education, 60, 47–68.
Strehl, F., Reisinger, S., & Kalatschan, M. (2007). Funding systems and their effects on higher education systems (OECD Education Working Papers, No. 6). Paris: OECD Publishing. Retrieved from http://dx.doi.org/10.1787/220244801417
Trow, M. (1996). Trust, markets and accountability in higher education: A comparative perspective. Higher Education Policy, 9(4), 309–324.
van Damme, D. (2009). The search for transparency: Convergence and diversity in the Bologna Process. Mapping the Higher Education Landscape – Higher Education Dynamics, 28, 39–55.
Volkwein, J. F., & Tandberg, D. A. (2008). Measuring up: Examining, the connections among state structural characteristics, regulatory practices, and performance. Research in Higher Education, 49, 180–197.
Zumeta, W. (1998). Public university accountability to the state in the late twentieth century: Time for a rethinking? Review of Policy Research, 15(4), 5–22.
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2012 Springer Science+Business Media Dordrecht
About this chapter
Cite this chapter
Orosz, K. (2012). Accountability and the Public Funding of Higher Education. In: Curaj, A., Scott, P., Vlasceanu, L., Wilson, L. (eds) European Higher Education at the Crossroads. Springer, Dordrecht. https://doi.org/10.1007/978-94-007-3937-6_37
Download citation
DOI: https://doi.org/10.1007/978-94-007-3937-6_37
Published:
Publisher Name: Springer, Dordrecht
Print ISBN: 978-94-007-3936-9
Online ISBN: 978-94-007-3937-6
eBook Packages: Humanities, Social Sciences and LawEducation (R0)