Step 1: Identify the Revisiting Which public “Weak functional problem assumptions about sector problem educational the problem that areas: outcomes for matters avoiding Are truly primary – beginning with the functional school preferred reform children”, and not “teacher absenteeism Are is high” etc. is a functional widely problem. Absence of as pay or a Medium Prima Term facie have Expenditure a clear Framework is link to not a poor functional outcomes? problem. Step 2: Diagnose Finding evidence on If late cash constraints where the additional disbursements “binding” based on evidence binding constraint is evidence that to the located by showing can be gathered department or that when the and reasonable cash rationing constraint is absent, judgment, what are believed then things work are the to be behind underlying the poor causes of the delivery, then functional in periods problem? when cash Why do they disbursements persist what came earlier – purpose do the delivery they serve? should be better. Does cash rationing provide an additional opportunity for political influence about budget distribution?
Step 1: Identify the functional problem Revisiting assumptions about the problem that matters – avoiding beginning with the preferred reform Which public sector problem areas: Are truly functional and not Are widely as Prima facie have a clear link to poor outcomes? “Weak educational outcomes for primary school children”, “teacher absenteeism is high” etc. is a functional problem. Absence of pay or a Medium Term Expenditure Framework is not a functional problem. Step 2: Diagnose “binding” constraints based on evidence Finding evidence where the binding constraint is located by showing that when the constraint is absent, then things work on additional evidence that can be gathered and reasonable judgment, what are the underlying causes of the functional problem? Why do they persist – what purpose do they serve? If late cash disbursements to the department or cash rationing are believed to be behind the poor delivery, then in periods when cash disbursements came earlier the delivery should be better. Does cash rationing provide an additional opportunity for political influence about budget distribution?
solomon-islands-economic-public-sector-governance-program-independent-review-2014.docx