Efficiencies and scope economies of Chinese airports in moving passengers and cargo

Clement Kong Wing Chow and Michael Ka Yiu Fung

Journal of Air Transport Management, 2009, vol. 15, issue 6, 324-329

Abstract: The paper looks at the technical efficiency of Chinese airports using multi-output stochastic input distance function analysis. This method provides a statistical test of scope economies to investigate the contribution of air cargo transport to airport efficiency. Our findings confirm the presence of scope economies in air passenger and air cargo transport among airports in China. We compare and contrast these results with results obtained from single-output stochastic production frontier analysis in which the effect of scope economies is not included. Our results indicate that the presence of scope economies significantly affects the estimation of technical efficiency, thus implying different efficiency rankings among airports in China.

Keywords: Technical efficiency; Stochastic input distance function; Scope economies (search for similar items in EconPapers)
Date: 2009
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Citations: View citations in EconPapers (10)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jaitra:v:15:y:2009:i:6:p:324-329

DOI: 10.1016/j.jairtraman.2009.05.002

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