A hybrid approach to efficiency measurement with empirical illustrations from education and health

Adam Wagstaff and Liang Wang

No 5751, Policy Research Working Paper Series from The World Bank

Abstract: Inefficiency is commonplace, yet exercises aimed at improving provider performance efforts to date to measure inefficiency and use it in benchmarking exercises have not been altogether satisfactory. This paper proposes a new approach that blends the themes of Data Envelopment Analysis and the Stochastic Frontier Approach to measure overall efficiency. The hybrid approach nonparametrically estimates inefficiency by comparing actual performance with comparable real-life"best practice"on the frontier and could be useful in exercises aimed at improving provider performance. Four applications in the education and health sectors are used to illustrate the features and strengths of this hybrid approach.

Keywords: Health Monitoring&Evaluation; Health Systems Development&Reform; Tertiary Education; Disease Control&Prevention; Education For All (search for similar items in EconPapers)
Date: 2011-08-01
New Economics Papers: this item is included in nep-ecm, nep-eff and nep-hea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

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