Classification of Governance Sub-Indicators by Experts

The research investigates the extent to which the different governance indicators impact institutional efficiency, which consists of ordering the indicators from the most important (score 1) to the least important (score 6), considered the easiest and quickest to carry out (Weight 1 in the excel spreadsheet). However, it has limitations. For example, the difference between alternatives is always the same. This research includes the improvement of the evaluation by ordering, with two classifications.

Inspired by the deck of cards methodology, the difference in importance between the already ordered sub-indicators is evaluated using the same scale as the AHP (by Saaty): 1.) equally important; 3.) slightly more important; 5.) more important; 7) much more important; 9) extremely more important (Weight 2 in the Excel spreadsheet).

Description of the indicators:

Control of Corruption: captures perceptions of the extent to which public power is exercised for private gain, including petty and grand corruption, as well as the “capture” of the state by elites and private interests.
Government effectiveness: captures perceptions of the quality of public services, the quality of the civil service and the degree of its independence from political pressures, the quality of policy formulation and implementation, and the credibility of the government's commitment to such policies.
Rule of law: captures perceptions of the extent to which agents trust and abide by the rules of society and, in particular, the quality of contract enforcement, property rights, the police and the courts, as well as the likelihood of crime and violence.
Quality of the business environment: captures how conducive the regulatory environment is for businesses to start up and operate in the country, offering a measure of the regulatory performance of economies.
Regulatory Quality: captures perceptions of the government's ability to formulate and implement sound policies and regulations that enable and promote private sector development.
Voice and Accountability: captures perceptions of the extent to which a country's citizens are able to participate in choosing their government, as well as freedom of expression, freedom of association and free media.