We discuss how to properly decompose economic efficiency when the underlying technology is non-homothetic using alternative allocative and technical efficiency criteria. We first show that only under the production of one output and assuming the particular case of constant returns to scale...

Cost or revenue efficiency measurement based on the approach initiated by Farrell has received great attention from academics and practitioners since the fifties. Farrell’s approach decomposes cost efficiency into two different sources, viz. technical efficiency and allocative efficiency....

Manufacturing firms in developing countries experience difficulties to deploy total capacity and realize the full potential. This research uses four years? primary data collected from the seafood industry in Bangladesh and analyzes that using stochastic frontier approach and presents an...

This paper investigates the link between competition and efficiency for the Hungarian corporate sector during various phases of the transition process. We employ frontier production functions to explore differences among groups of firms, and to identify the typical adjustment process of each...

We develop a network technology model for pollution abatement that distinguishes between the two primary forms that abatement can take: Prevention of emissions from occurring in the first place, and treatment of any emissions that are generated by the production process. Our network model...

Forest fuel defined as branches and tops (GROT) of harvested trees represents a large share of forest biomass and is increasingly viewed as a potential energy source. This study assesses the economic potentials of forest bioenergy production in Swedish forests, using a network data envelopment...

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...

This paper investigates the link between competition and efficiency for the Hungarian corporate sector during various phases of the transition process. We employ frontier production functions for exploring differences among groups of firms, and for identifying the typical adjustment process of...

This paper examined technical efficiency of small-scale batik production in the Ghanaian economy. A sample of 400 Batik producers was interviewed for the purpose from the Central Region of Ghana. The Stochastic Frontier approach was used in determining the levels of technical efficiency of the...

Results of assessments of total labor factor productivity TFP showed improvements where it recorded higher rate of 73.5% compared to previous periods. However, that was related with constant rate of returns as compared with variable rate of return. When technical efficiency was compared with...