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We reconsider the motivation of Data Envelopment Analysis (DEA), the non-parametrictechnique that is widely employed … conventional engineering motivationof DEA can be problematic since it often builds on unverifiable production axioms. Wethen … provide a dual viewpoint and highlight the `behavioral' interpretation of DEA models.We start from a specification of the …
Persistent link: https://www.econbiz.de/10010826348
We discuss the nonparametric approach to profit efficiency analysis at the firm and industry levels in the absence of complete price information, and propose two new insights. First, choosing one commodity (whose price is known) as a numeraire good enables us to measure profit inefficiency in...
Persistent link: https://www.econbiz.de/10012731720
From an empirical perspective, this paper critically examines the concepts of returns to scale (RTS) and economies of scale (EOS), and argues that the concept of EOS is more relevant and broader enough to exhibit proper scale economies behavior of firms. Two approaches, i.e., production function...
Persistent link: https://www.econbiz.de/10013015488
We compute DEA efficiency scores and Malmquist indexes for a panel data set comprising 68 Portuguese public hospitals …
Persistent link: https://www.econbiz.de/10014220386
This paper briefly reviews the existing methods of capacity utilization in nonparametric framework from economic perspectives, and then suggests an alternative in the light of limitations therein. In the spirit of work by Coelli et al. [Coelli, T.J., Grifell-Tatje, E., Perelman, S., 2002....
Persistent link: https://www.econbiz.de/10013097880
firm. Two competing DEA cost models — one based on the factor-based technology set and the other based on cost …
Persistent link: https://www.econbiz.de/10013097900
In this contribution, first the concept of returns to growth (RTG) of a high-tech firm facing hyper-competition in the new economy is introduced by describing a proportional relationship between growth in inputs and growth in outputs using the growth efficiency (GE) model of Sengupta (2002)....
Persistent link: https://www.econbiz.de/10014039807
Persistent link: https://www.econbiz.de/10012115182
efficiency in production. The application of Data Envelopment Analysis (DEA) and Stochastic Frontier Analysis (SFA) to the same …
Persistent link: https://www.econbiz.de/10010615550
When benchmarking production units by non-parametric methods like data envelopment analysis (DEA), an assumption has to … frontiers across samples of producers. Until now, no exact tests for examining returns to scale assumptions in DEA, or for test … test for the hypothesis of constant returns to scale in DEA. The others are tests for general frontier differences and …
Persistent link: https://www.econbiz.de/10012132662