Measuring New Public Management at the Local Level: Experiences from EU Cities

Economic globalization, growingly differentiated and unstable markets, fiscal crises in light of increasing public expenditure are the elements of an uncertain future for local communities. Local communities are captured between the local service provision demands and the global market of local communities that compete for investors. In the context of this ever demanding environment the functions of local administration should be reformed. The article presents the specifics of local management and alongside its reform process under the principles of new public management. The empirical part of the article explains the findings of an extensive study of local administrations in the European Union and their reforms with implications that show the effects of reformed local administration on the economic performance of the local community.