Parametric analysis of cost inefficiency and the decomposition of productivity growth for regulated firms

Gerald Granderson

Applied Economics, 1997, vol. 29, issue 3, 339-348

Abstract: This paper examines the contributions of technical change, scale economies, regulation, and efficiency on productivity growth in the interstate natural gas pipeline industry. Following Bauer (1990) productivity growth for firms subject to regulation is decomposed into technical change, scale economies, regulation, and efficiency components. The data sample consists of 20 pipeline companies and covers the period 1977 to 1987. Results indicate that scale economies, cost inefficiency, and regulation on average accounted for 64%, 16%, and 4% of productivity growth respectively. Cost efficiency declined over the sample period, most of which can be attributed to technical inefficiency.

Date: 1997
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

Downloads: (external link)
http://www.tandfonline.com/doi/abs/10.1080/000368497327119 (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:taf:applec:v:29:y:1997:i:3:p:339-348

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/RAEC20

DOI: 10.1080/000368497327119

Access Statistics for this article

Applied Economics is currently edited by Anita Phillips

More articles in Applied Economics from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().