ABSTRACT

The rationale for the choice of such an indicator is that this broader indicator of dependency, relating to instrumental activities of daily living, is focused on the levels at which community social services have traditionally directed their tasks. The choice would have been more appropriate given the divisions of labour and service tasks of the early 1980s, before the reform critique was developed. IMPIADL might be a suitable goal to set for an agency subsidising provision in a financing system in which tasks to compensate for ADLs were financed by another agency. However, the production function for IADLs alone would not be ideal for the purpose because the performance of tasks related to the one tend to make the use of resources for the production of the other more effective. That is, there are joint supply effects between IMPADL and IMPIADL, as has been seen in chapter 12. In this case, inefficiencies for the production of the two outputs together may be overstated by a production function for one of the products only.