The average results for the G7 imply that lack of cost effectiveness is a major driver of spending inefficiencies in the G7 in tertiary education and health. This may be addressed by increasing competition between suppliers of goods and services to education and health institutions and tackling overspending on specific spending items (., due to overstaffing). In secondary education, the situation is reversed, and G7 countries (except Germany) score worse on system efficiency than on overall spending efficiency. This suggests that for secondary education, options for reducing public spending may be found by assessing whether the mix of intermediate outputs.