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On aggregation of technical and revenue efficiency measures
Journal of Productivity Analysis ( IF 2.500 ) Pub Date : 2023-11-07 , DOI: 10.1007/s11123-023-00710-2
Mehmet A. Begen , Fredrik Ødegaard , Jafar Sadeghi

We discuss and propose new results regarding combined production efficiencies of an aggregate group, such as industry or region. Based on the production economic notion of aggregate technology, we present an algebraic representation of the aggregation output set, and use this to derive a new decomposition of the aggregation unit’s technical efficiency, e.g. a group’s technical efficiency. Our novel decomposition can identify more clearly the inefficiency due to the underlying units and the inefficiency due to the aggregation. For the special single output case, the proposed aggregation measure is consistent with the extant literature, and identical to Farrell’s measure of structural efficiency of a group. However, for the general multiple outputs case we show that there is a gap between the proposed measure and the extant literature. We illustrate the formal results with a numerical example based on a dataset from literature.



中文翻译:

关于技术和收入效率措施的汇总

我们讨论并提出有关总体组(例如行业或地区)的综合生产效率的新结果。基于聚合技术的生产经济学概念,我们提出了聚合输出集的代数表示,并用它来导出聚合单元技术效率的新分解,例如群体的技术效率。我们新颖的分解可以更清楚地识别由于底层单元导致的低效率和由于聚合导致的低效率。对于特殊的单一输出情况,所提出的聚合度量与现有文献一致,并且与法雷尔对群体结构效率的度量相同。然而,对于一般的多输出情况,我们表明所提出的措施与现有文献之间存在差距。我们用基于文献数据集的数值示例来说明正式结果。

更新日期:2023-11-07
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