Asymptotics and Consistent Bootstraps for DEA Estimators in Non-parametric Frontier Models

Alois Kneip, Leopold Simar and Paul Wilson

No 12/2006, Bonn Econ Discussion Papers from University of Bonn, Bonn Graduate School of Economics (BGSE)

Abstract: Non-parametric data envelopment analysis (DEA) estimators based on linear programming methods have been widely applied in analyses of productive efficiency. The distributions of these estimators remain unknown except in the simple case of one input and one output, and previous bootstrap methods proposed for inference have not been proven consistent, making inference doubtful. This paper derives the asymptotic distribution of DEA estimators under variable returns-to-scale. This result is then used to prove that two different bootstrap procedures (one based on sub-sampling, the other based on smoothing) provide consistent inference. The smooth bootstrap requires smoothing the irregularly-bounded density of inputs and outputs as well as smoothing of the DEA frontier estimate. Both bootstrap procedures allow for dependence of the inefficiency process on output levels and the mix of inputs in the case of input-oriented measures, or on inputs levels and the mix of outputs in the case of output-oriented measures.

Keywords: bootstrap; frontier; efficiency; data envelopment analysis; DEA (search for similar items in EconPapers)
JEL-codes: C12 C14 C15 (search for similar items in EconPapers)
Date: 2006
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.econstor.eu/bitstream/10419/22957/1/bgse12_2006.pdf (application/pdf)

Related works:
Journal Article: ASYMPTOTICS AND CONSISTENT BOOTSTRAPS FOR DEA ESTIMATORS IN NONPARAMETRIC FRONTIER MODELS (2008)
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:zbw:bonedp:122006

Access Statistics for this paper

More papers in Bonn Econ Discussion Papers from University of Bonn, Bonn Graduate School of Economics (BGSE) Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().