Daniel Fujiwara for HACT 7 June 2012 by d4nR45Y


									 Social Impacts Measurement
in Government and Academia

Daniel Fujiwara

Cabinet Office & London School of Economics
I. Social impacts in public policy
• Economists in government have a long tradition of
  measuring social impact: Cost-Benefit Analysis (CBA).
           The Green Book (1)
• CBA enters at the Appraisal stage
• Appraise policy interventions in terms of their social
  costs and benefits.
• Further supported through the Social Value Act (2012)
         ROAMEF cycle
          The Green Book (2)
• Supplementary Green
  Book guidance provides
  guidelines on how to
  value social impacts
           The Magenta Book
• Assessing whether the policy had a causal
  II. Social impacts research (1)
• Valuation and Evaluation (causality) are key to
  understanding social impacts.

• Theory: to find the monetary equivalent of the change in
  welfare or wellbeing associated with experiencing or
  consuming the ‘good’.
• We could look at people’s preferences or their
• Wellbeing valuation: recent research is looking at
  assessing value in terms of changes in subjective
  wellbeing (Fujiwara & Campbell, 2011) with lots of
  potential for housing issues.
         Social impacts research (2)
Evaluation (causality)
                                Evaluation scale (Dolan & Fujiwara (2012) BIS technical report)

•   Theory: Identifying          Level        Design                 Statistical method

    and measuring the              5     Randomised trials    Evaluations with well implemented
                                                              random assignment of treatment to
    counterfactual                                            subjects in treatment and control

•   Many public sector             4     Quasi-               Evaluations that use a naturally
                                         Experiments          occurring event (that makes the
    organisations moving                                      treatment assignment as good as
    to the Maryland                                           random)

    Evaluation scale.              3     Matching              Non-experimental evaluations where
                                         techniques;          treatment and comparison groups are
    This scale ranks how                 Regression           matched on observable characteristics
    well counterfactuals have            analysis

    been measured in the           2     Simple               Studies with a treated and comparison
                                         comparisons          group, but with no attempt made to
    analysis.                                                 control for differences among the
                                   1     Pre- and post        Studies where no comparison group is
                                         analysis             used. Outcomes are measured pre
                                                              and post-treatment.
  III. Housing and social impact
Example: Attaching values to aspects of housing through
the Wellbeing Valuation approach

 Preliminary findings (not for citation)

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