This book estimates the impacts on the use of local management innovations (e.g., adopting performance measures) related to local service delivery contracting. The previous research has only tested local management innovations from an individual local level, rather than estimate how state factors influence local practices, which obviously ignore the federalism in the United States. The model strategies this book employs include local and state variables with a time linear growth and a growth curve estimated by a Hierarchical Linear Model (HLM) and a Hierarchical Generalized Linear Model (HGLM). This book intends to estimate how local contract management capacity and state factors influence the rate of use of performance measurements, as well as to compare their group differences on for-profit contracting and nonprofit contracting. The diffusion of local performance measurement nested in state level did not change significantly over time, but the findings with the linear growth model and growth curve model showed that the adoption of performance measurements indeed had grown over our observed time.
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