Efficiency Dominance Analysis (EDA): Basic Methodology

Henry Tulkens

Chapter Chapter 18 in Public goods, environmental externalities and fiscal competition, 2006, pp 431-442 from Springer

Abstract: Abstract This paper argues that for evaluating efficiency in the economic sense of an organization (any DMU, in the Charnes, Cooper and Rhodes (1978) terminology), the notion of frontier is less basic than the one of dominance. In Section 2, three different ways to define this concept are proposed: pairwise E-dominance, setwise E-dominance and global E-dominance. In Section 3, numerical measurement methods are proposed for each. Properties of EDA are highlighted and contrasted with the frontier methodology in the concluding Section 4.

Keywords: Efficiency Score; Credit Union; Frontier Efficiency; Extreme Index; Bank Branch (search for similar items in EconPapers)
Date: 2006
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DOI: 10.1007/978-0-387-25534-7_21

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