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Aggregating Farrell efficiencies with private and public inputs

Barnabé Walheer ()

European Journal of Operational Research, 2019, vol. 276, issue 3, 1170-1177

Abstract: Since the initial paper on aggregating Farrell efficiencies of entities into a group counterpart by Färe and Zelenyuk (2003), much attention has been given in the literature to the aggregation of efficiency and efficiency-related indexes and indicators for both static and dynamic settings. In this paper, we make a distinction between two types of inputs in the aggregation framework: private and public inputs. Private inputs are those used by each entity individually, while public inputs are used collectively. The obtained aggregation procedure, while remaining consistent with previous contributions, offers the advantage of considering more practical cases, and increases our understanding of aggregation techniques.

Keywords: Data envelopment analysis; Aggregation; Farrell efficiency; Private inputs; Public inputs (search for similar items in EconPapers)
Date: 2019
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Handle: RePEc:eee:ejores:v:276:y:2019:i:3:p:1170-1177