Ownership and Efficiency in Nuclear Power Production

Michael Pollitt

Oxford Economic Papers, 1996, vol. 48, issue 2, 342-60

Abstract: This paper uses data envelopment analysis to examine the relative productive efficiency of a sample of seventy-eight publicly and privately owned nuclear power plants operating during the year 1989. The sample includes thirteen U.K. nuclear power plants. Linear programs are used to calculate a variety of plant specific efficiency scores, including measures which attempt to adjust for vintage effects. Nonparametric and Tobit/OLS analysis is employed to test the null hypothesis that ownership has no effect on productive efficiency. The results tentatively suggest that the U.K. plants could expect to reduce costs through significantly lower staffing levels. Copyright 1996 by Royal Economic Society.

Date: 1996
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