Testing for Economies of Scope in European Railways: An Efficiency Analysis
Christian Growitsch and
Heike Wetzel
Journal of Transport Economics and Policy, 2009, vol. 43, issue 1, 1-24
Abstract:
In this paper, we conduct a pan-European efficiency analysis to investigate the performance of European railways with a particular focus on economies of vertical integration. We test the hypothesis that integrated railways realise economies of scope and, thus, produce railway services with a higher level of efficiency. To determine whether joint or separate production is more efficient, we apply a data envelopment analysis super-efficiency bootstrapping model which relates the efficiency for integrated production to a reference set consisting of separated firms which use a different production technology. We find that for a majority of European railways, economies of scope exist. © 2009 LSE and the University of Bath
Date: 2009
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Working Paper: Testing for Economies of Scope in European Railways: An Efficiency Analysis (2007) 
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Persistent link: https://EconPapers.repec.org/RePEc:tpe:jtecpo:v:43:y:2009:i:1:p:1-24
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