European Policy Uses of International Comparisons of Academic Achievement. ACES Working Papers, 2012

International large-scale assessments (ILSAs) and the resulting ranking of countries in key academic subjects have become increasingly significant in the development of global performance indicators and national level reforms in education. As one of the largest international surveys, the Programme for International Student Assessment (PISA) has had a considerable impact on the world of international comparisons of education. Based on the results of these assessments, claims are often made about the relative success or failure of education systems, and in some cases, such as Germany or Japan, ILSAs have sparked national level reforms (Ertl, 2006; Takayama, 2007, 2009). In this paper, I offer an analysis of how PISA is increasingly used as a key reference both for a regional2 entity like the European Union (EU) and for national level performance targets in the example of Spain (Breakspear, 2012). Specifically, the paper examines the growth of OECD and EU initiatives in defining quality education, and the use of both EU benchmarks and PISA in defining the education indicators used in Spain to measure and set goals for developing quality education. By doing so, this paper points to the role of the OECD and the EU in national education systems. It therefore adds to a body of literature pointing to the complex relationship between international, regional, and national education policy spaces (cf. Dale & Robertson, 2002; Lawn & Grek, 2012; Rizvi & Lingard, 2009).

Unleashing Competition in EU Business Services. CEPS Policy Brief No. 284, 24 September 2012

In most EU member states, the business services industry has booked no productivity growth during the last two decades. The industry’s performance in the other member states was weaker than that of its US counterparts. Exploring what may be causing this productivity stagnation, this policy brief reports that weak competition has contributed to the continuing malaise in European business services. The study analyzed the persistence (over time) of firm-level inefficiencies. The evidence further suggests that competition between small firms and large firms in business services is weak. Markets for business services work best in countries with flexible regulation on employment change and with low regulatory costs for firms that start up or close down a business. Countries that are more open to foreign competition perform better in terms of competitive selection and productivity. The policy simulations in this paper show that greater import openness strengthens competition in business services markets. The largest positive impact comes from lower regulatory barriers for growing and shrinking firms. More particularly, competitive selection would be fostered by a reduction of administrative and regulatory costs related to labour contracts, bankruptcy and start-up requirements. A key element of the European Commission’s Europe-2020 strategy is the Single European Market for Services. Business services form one of the largest industries in Europe – and given its productivity stagnation, it deserves to be a priority target of the Europe-2020 strategy. Improving the way the business services market functions may have large positive knock-on effects for the EU economy.