A double-frontier approach for measuring market imperfection

Michel Mouchart and Marie Vandresse ()

Annals of Operations Research, 2010, vol. 173, issue 1, 137-144

Abstract: This paper proposes a new methodology for evaluating the market imperfection and the bargaining power of each agent acting on a given market. The new methodology is an extension of DEA to the two frontiers case with respect to a privileged direction. A particular attention is paid to the treatment of bidirectional free disposability. This model is motivated by the analysis of survey data consisting of a set of contracts described in the space of price and attributes. Copyright Springer Science+Business Media, LLC 2010

Keywords: Frontier analysis; DEA; Bi-directional frontier; Bi-directional free disposability; Supply and demand bid functions; Imperfect competition; Bargaining power (search for similar items in EconPapers)
Date: 2010
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DOI: 10.1007/s10479-008-0499-7

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