 Efficiency Measures for Industrial OrganizationChapter Chapter 5 in Benchmarking for Performance Evaluation, 2015, pp 221-250 from Springer Abstract: Abstract The aim of the paper was to measure the efficiency of an industry and to decompose it in firm efficiencies—which indicate how close firms approximate best practices—and an organization efficiency—which indicates the degree of optimality of the number of firms and their distribution. The latter component provides an efficiency measure for the industrial organization. Economies or diseconomies of scale and of scope play a big role in the determination of the optimal industrial organization and the consequent measurement of the efficiency of an observed industry. Different approaches to the modeling of scale economies will be reviewed. This paper shows in detail how the efficiency of an industrial organization can be measured as a gap between mean firm efficiency and overall industry efficiency. The analysis is extended to dynamic models to measure the role of entry and exit in the efficiency of the industrial organization. Keywords: Data Envelopment Analysis; Industrial Organization; Constant Return; Shadow Price; Variable Return (search for similar items in EconPapers) There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it. Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-81-322-2253-8_5 Ordering information: This item can be ordered from DOI: 10.1007/978-81-322-2253-8_5 Access Statistics for this chapter More chapters in Springer Books from Springer |
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