Technical efficiency measurement and explanation of French urban transit companies

Kristiaan Kerstens

Transportation Research Part A: Policy and Practice, 1996, vol. 30, issue 6, 431-452

Abstract: The performance of a sample of French urban transit companies is evaluated using a broad selection of nonparametric reference technologies for two specifications of the production process. In particular, the variable returns to scale Data Envelopment Analysis (DEA) models with either strong or weak disposability in both inputs and outputs, and the Free Disposal Hull (FDH) are applied. An extensive comparison of the resulting radial output efficiency measures yields the following major methodological conclusions. First, the location of the efficiency distributions differs substantially depending on the methodology and especially on the output specification considered. The latter differences vanish if the impact of outliers is eliminated. Second, convexity has a stronger influence on the efficient-inefficient dichotomy than allowing for congestion by means of a weakly disposable DEA model. For policy purposes, these efficiency distributions are explained using a Tobit model. The findings corroborate results reported elsewhere: the relevance of ownership, the use of risk-sharing incentives in contracting, the harmful impact of subsidies, etc. Furthermore, the network structure seems to account for some differences in performance. Finally, a novelty in the urban transit context is the indirect monitoring effect of the French earmarked transportation tax.

Date: 1996
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (77)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/0965-8564(96)00006-7
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Technical efficiency measurement and explanation of French urban transit companies (1995)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:transa:v:30:y:1996:i:6:p:431-452

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/supportfaq.cws_home/regional
https://shop.elsevie ... _01_ooc_1&version=01

Access Statistics for this article

Transportation Research Part A: Policy and Practice is currently edited by John (J.M.) Rose

More articles in Transportation Research Part A: Policy and Practice from Elsevier
Bibliographic data for series maintained by Catherine Liu ().