Evidence schmevidence

Today, marks the death of evidence-based policymaking in the British government. According to your tastes, you can either mourn its passing or celebrate the new, more ideological decision making. But dead it is. This is clear from today’s Cabinet Office document -the State of the Nation report – a report mostly about social policy.

We will have to see whether the explicit disregard for evidence in the report is continued into UK fiscal and monetary policy.

Chapter 5 of the report deals with “severe problems in the UK today related to family breakdown”. It notes that “family breakdown is associated with a number of poor outcomes for the adults and children involved”. Relationship breakdown is associated with ill-health among adults and worse educational and behavioural outcomes among children. As evidence, the report cites a few facts, including that:

Children in lone-parent and stepfamilies are twice as likely to be in the bottom 20 per cent of child outcomes as children in married families.

Fine, that’s a correlation. It is true and there are many more like this. But don’t we know that there is almost no evidence that these correlations are causal? Isn’t it the case that rather than marriage causing better outcomes for children, the kids of stable, married parents do better than those of cohabiting parents or lone parents because their richer, more loving and better educated parents are also more likely to get married. Absolutely, according to the Cabinet Office report:

Research indicates that outcome gaps vary significantly within family structures and are relatively small compared with socio-economic factors, while separation may in fact benefit children where there are high levels of parental conflict.

Evidence, schmevidence. For the new government, correlations count more than causal relationships. The next paragraph says:

Nevertheless, the strong evidence linking the experience of family breakdown and dysfunction to poorer outcomes for both adults and children indicates the importance of family structure and home environment for policy.

It does nothing of the sort. I will return to some of the fiscal implications of the report later in the day.

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Chris Giles Chris Giles has been the economics editor of the Financial Times since 2004. Based in London, he writes about international economic trends and the British economy. Before reporting economics for the Financial Times, he wrote editorials for the paper, reported for the BBC, worked as a regulator of the broadcasting industry and undertook research for the Institute for Fiscal Studies. RSS

Ralph Atkins, Frankfurt bureau chief, has been writing about European economics and politics for the Financial Times for more than 20 years following an economics degree from Cambridge. He has been watching the European Central Bank and eurozone economies since 2004. He has previously worked in London, Bonn, Berlin, Jerusalem and Brussels. RSS

Robin Harding is the FT's US economics editor, based in Washington. Prior to this, he was based in Tokyo, covering the Bank of Japan and Japan's technology sector, and in London as an economics leader writer. Robin studied economics at Cambridge and has a masters in economics from Hitotsubashi University, where he was a Monbusho scholar. Before joining the FT, Robin worked in asset management and banking. RSS

Claire Jones is Money Supply economics team writer, based in London. Before joining the Financial Times, she was the editor of the Central Banking journal and CentralBanking.com. Claire studied philosophy and economics at the London School of Economics. RSS

James Politi is US economics and trade correspondent for the Financial Times, based in Washington DC. He joined the Washington bureau in January 2008 following four and a half years as US deals correspondent covering M&A and private equity. James Politi joined the FT in London in 2000 with an MSc at the London School of Economics, and undergraduate degrees from Georgetown University and the University of Florence. RSS

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