Efficiency Measurement: A Nonparametric Approach
Abdelaati Daouia () and
Annals of Economics and Statistics, 2006, issue 82, 217-242
The aim of the paper is to present a statistical methodology allowing a meaningful comparison of the production performance of firms without resorting to the usual concept of production frontier. We introduce an efficiency measure based on a nonstandard conditional distribution and propose a two-stage estimation procedure with a smoothing step followed by an isotonization step. We illustrate the approach through a simulated example and an analysis of the performance of Spanish electricity distributors.
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Persistent link: https://EconPapers.repec.org/RePEc:adr:anecst:y:2006:i:82:p:217-242
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