Aggregation of scale efficiency |
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Authors: | Valentin Zelenyuk |
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Affiliation: | School of Economics, Centre for Efficiency and Productivity Analysis (CEPA), The University of Queensland, Australia |
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Abstract: | In this article we generalize the aggregation theory in efficiency and productivity analysis by deriving solutions to the problem of aggregation of individual scale efficiency measures, primal and dual, into aggregate primal and dual scale efficiency measures of a group (e.g., industry). The new aggregation result is coherent with aggregation framework and solutions that were earlier derived for other related efficiency measures and can be used in practice for estimation of scale efficiency of an industry or other groups of firms within it. |
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Keywords: | Scale efficiency Aggregation Industry efficiency Duality DEA |
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