Selection Indicators

MCC looks at several elements in choosing selection indicators.  They include:

  • Development by a third party,
  • Linkage to policies that the government can influence within a two to three year horizon,
  • Linkage—theoretically or empirically—to economic growth and poverty reduction,
  • Use of an analytically rigorous methodology and objective and high-quality data,
  • Broad country coverage and comparability across countries,
  • Consistency in results from year to year

This table, sortable by indicator, category, and source, lists the 17 indicators used to determine country eligibility for MCC program assistance.

Indicator Category Source
Civil Liberties Ruling Justly Freedom House
Political Rights Ruling Justly Freedom House
Voice and Accountability Ruling Justly World Bank Institute
Government Effectiveness Ruling Justly World Bank Institute
Rule of Law Ruling Justly World Bank Institute
Control of Corruption Ruling Justly World Bank Institute
Immunization Rates Investing in People World Health Organization
Public Expenditure on Health Investing in People World Health Organization
Girls' Primary Education Completion Rate Investing in People UNESCO
Public Expenditure on Primary Education Investing in People UNESCO and national sources
Business Start Up Economic Freedom IFC
Inflation Economic Freedom IMF WEO
Trade Policy Economic Freedom Heritage Foundation
Regulatory Quality Economic Freedom World Bank Institute
Fiscal Policy Economic Freedom national sources, cross-checked with IMF WEO
Natural Resource Management Investing in People CIESIN/Yale
Land Rights and Access Economic Freedom IFAD / IFC

Use of Supplemental Information

MCC’s Board of Directors may also take into account other quantitative and qualitative information.  The Board uses supplemental information to inform its understanding of a country’s policy performance relative to its peers, and MCC’s ability to reduce poverty and generate economic growth in a country.

There are elements of the eligibility criteria set out in MCC’s legislation for which there is either limited quantitative information or no well-developed performance indicator, so MCC may turn to supplemental sources for assessments of these policy issues.  In addition, the Board may consider whether there are data gaps or lags in particular indicators that can be addressed by supplemental information.

Supplemental information used by MCC may include (but is not limited to):