Comparing Like with Like in Productivity Studies: Apples, Oranges and Electricity

John Zeitsch, Denis Lawrence and John Salerian

The Economic Record, 1994, vol. 70, issue 209, 162-170

Abstract: A methodology is developed to incorporate operating environment variables in the measurement of Total Factor Productivity. When no account is taken of operating environments, the Queensland Electricity Supply Industry (QES1) was found to be 13 per cent more productive than the New South Wales Electricity Supply Industry (NSWES1). However, when performance is adjusted for the relatively large area serviced by the QESI, the productivity advantage it has over the NSWESI expands to about 20 per cent.

Date: 1994
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