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The Importance of Common Metrics for Advancing Social Science Theory and Research: A Workshop Summary
  http://www.nap.edu/catalog/13034.html

            INDICATORS                                                    33

                   ing periods of intense scrutiny. In general, measures that are more
                   about outcomes than outputs are less vulnerable to distortion.
               •   Diminishing utility: For example, as soon as any measure of money
                   supply becomes an official policy target for a government, it im-
                   mediately becomes less useful because of market behavior antici-
                   pating movements in the indicator. Another example is the use of
                   standardized tests and international benchmarking. Not only have
                   these been powerful tools to drive up standards in mathematics and
                   science literacy, but they also have diverted attention away from
                   equally important but less measurable aspects of learning, such as
                   noncognitive skills, social skills, resilience, motivation, and other
                   key predictors of lifetime earnings, social mobility, and life success.
               •   Obsolescence: Some standardized measures reflect society or the
                   economy at a particular point and become less useful over time.
                   The utility for policy makers of evolving indicators may outweigh
                   the utility of consistency.
               •   Limited relevance: While standard measurements may reflect the
                   views  of  officials  and  professionals,  they  may  be  very  different
                   from those used by the public. For example, quality in health care
                   services may be measured by official statistics in terms of waiting
                   times  or  mortality,  but  the  public  may  describe  such  factors  as
                   service style as most important.


                          Categories of Standardized Measurement:
                            Underlying Causes and Relationship

               Mulgan commented that, in most areas of public policy, there is little
            agreement about the fundamentals of causation and theory. Grade retention
            in school in the United States, for example, can be explained by economists
            as an issue of economic incentives of the labor market. Sociologists will
            insist that peer pressure is a key factor. Educators will claim that perfor-
            mance at age 11 affects a student at age 14, and psychologists may focus
            on  personality  structure.  Consequently,  he  said,  policy  makers  may  not
            agree on which causal mode is correct, and there is no single approach to
            resolving disagreements.
               In addition, he continued, there are also fields in which new indicators
            are needed, for example, the use of the Internet for public services. Related
            to this topic, Mulgan reported on a review that he recently conducted on
            the state of knowledge about behavior change and its relevance to health
            policy. He found an uneven evidence base on the efficacy of either financial
            incentives or “nudge-type” methods of environmental shaping of behavior.










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