Explaining efficiency in municipal services providers

Bernardino Benito (), José Solana () and Maria del Rocio Moreno Enguix

Journal of Productivity Analysis, 2014, vol. 42, issue 3, 225-239

Abstract: This paper considers the provision of some important municipal services and applies the non-parametric double bootstrap Simar and Wilson (J Econ 136(1):31–64, 2007 ) model based on a truncated-regression to estimate the effect of a group of relevant factors, which include the political sign of the governing party and the type of management, on robust DEA (Data Envelopment Analysis) estimates. Previous conditions, like separability, must hold for meaningful first- stage efficiency estimates and second-stage regression. After some confusion in the literature, Simar and Wilson (J Prod Anal 36(2):205–218, 2011b ) clarify that their work of 2007 actually defines a statistical model where truncated (but not censored, i.e., Tobit, not Ordinary Least Square) regression yields a consistent estimation of model features. They demonstrate that conventional, likelihood-based approaches to inference are invalid, and they develop a bootstrap approach that yields valid inference in second stage regressions when these are appropriate. The results reveal a significant relation between efficiency and all the variables analysed and that municipalities governed by progressive parties are more efficient. Copyright Springer Science+Business Media New York 2014

Keywords: Efficiency; Data Envelopment Analysis (DEA); Bootstrap; Municipal services; Two-stage estimation; H71; H83 (search for similar items in EconPapers)
Date: 2014
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (17)

Downloads: (external link)
http://hdl.handle.net/10.1007/s11123-013-0358-7 (text/html)
Access to full text is restricted to subscribers.

Related works:
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:kap:jproda:v:42:y:2014:i:3:p:225-239

Ordering information: This journal article can be ordered from
http://www.springer. ... cs/journal/11123/PS2

DOI: 10.1007/s11123-013-0358-7

Access Statistics for this article

Journal of Productivity Analysis is currently edited by William Greene, Chris O'Donnell and Victor Podinovski

More articles in Journal of Productivity Analysis from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().