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Enhancing the inclusion of non-discretionary inputs in DEA
Authors:J M Cordero-Ferrera  F Pedraja-Chaparro  D Santín-González
Institution:1.University of Extremadura,Badajoz,Spain;2.Complutense University of Madrid,Madrid,Spain
Abstract:The aim of this paper is to provide an alternative approach for estimating efficiency when a set of decision-making units uses non-discretionary inputs in the productive process. To test the influence of these variables, our proposal uses a multi-stage approach based on Tobit regressions. In order to avoid potential bias, a bootstrap procedure is used to estimate these regressions. This methodology allows enhancing other models previously proposed to introduce non-controllable inputs in data envelopment analysis (DEA) overcoming, thus, some of their main shortcomings. We illustrate our framework with an empirical application on Spanish high schools where non-controllable factors play a major role to explain educational achievements.
Keywords:
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