Advanced Mathematical Methods for Economic Efficiency Analysis: Theory and Empirical Applications

Preface
Contents
Contributors
Introduction
	1 General Insights and Concepts
	2 The Book Chapters and Contents
		2.1 Part 1
		2.2 Part 2
		2.3 Part 3
	3 Concluding Remarks
	References
Part 1
Production Economics and Economic Efficiency
	References
Data Envelopment Analysis: A Review and Synthesis
	1 Introduction
	2 The Origin of Frontier Methods
	3 The Original DEA Model
	4 The Evolution of the DEA Methodology
	5 DEA Applications Roadmap
	6 Opportunities for Future Developments in DEA
	References
Stochastic Frontier Analysis: A Review and Synthesis
	1 Introduction
	2 Stochastic Frontier Analysis (SFA)
		2.1 The SFA Method
		2.2 SFA Approach in EE
	3 Applications of SFA in EE Assessment
	4 Policy Recommendations and Possible Future Research Applications of SFA
	5 Concluding Remarks
	References
Part 2
Combining Directional Distances and ELECTRE Multicriteria Decision Analysis for Preferable Assessments of Efficiency
	1 Introduction
	2 Using ELECTRE Outranking to Set a “Preferable Direction”
	3 Numerical Example
	4 Conclusions
	References
Benefit-of-the-Doubt Composite Indicators and Use of Weight Restrictions
	1 Introduction
	2 BoD Composite Indicators Based on DEA Models
	3 BoD Composite Indicators Based on Directional Distance Functions
	4 Incorporating Value Judgments in BoD Composite indicators
		4.1 Restrictions to Virtual Weights in CIs
		4.2 Direct Weight Restrictions in CIs
	5 Graphical Interpretation of a Directional BoD Model
		5.1 Directional BoD Model with Virtual Weight Restrictions
		5.2 Directional BoD Model with ARI Restrictions
	6 Conclusions
	References
Multidirectional Dynamic Inefficiency Analysis: An Extension to Include Corporate Social Responsibility
	1 Introduction
	2 Dynamic Multidirectional Inefficiency Analysis with CSR Incorporated
	3 Dataset
	4 Results
	5 Conclusions
	References
Stochastic DEA
	1 Introduction
	2 Stochastic DEA
	3 Distributional Assumptions on ε
	4 Measuring Technical Efficiency
	5 Conclusions
	References
Internal Benchmarking for Efficiency Evaluations Using Data Envelopment Analysis: A Review of Applications and Directions for Future Research
	1 Introduction
	2 Methodological Procedure
	3 Results
	4 Internal Longitudinal Benchmarking: An Empirical Application
	5 Discussion
	6 Conclusions
	References
Part 3
Recent Advances in the Construction of Nonparametric Stochastic Frontier Models
	1 Introduction
	2 Identification
	3 Estimation
		3.1 Full Separability
		3.2 Weak Separability
		3.3 No Separability
	4 Concluding Remarks
	References
A Hierarchical Panel Data Model for the Estimation of Stochastic Metafrontiers: Computational Issues and an Empirical Application
	1 Introduction
	2 The Model and Its Estimation
	3 Computational Issues
	4 Empirical Application
		4.1 Estimation
	5 Conclusions
	References
Robustness in Stochastic Frontier Analysis
	1 Introduction
	2 The Stochastic Frontier Model
	3 Definitions and Measures of Robustness
		3.1 The Influence Function
		3.2 Breakdown Point
		3.3 Summary of Measures
	4 Robustness and Stochastic Frontier Estimation
		4.1 Corrected Ordinary Least Squares
		4.2 Quantile Regression
		4.3 Maximum Likelihood Estimation
		4.4 Alternative M-estimators
	5 Robustness and Efficiency Prediction
		5.1 Conditional Mean
		5.2 Conditional Mode
		5.3 Conditional Median
	6 Summary and Conclusions
	References
Is it MOLS or COLS?
	1 Introduction
	2 The Methods
		2.1 Method A
		2.2 Method B
		2.3 What These Methods Aim to Do
	3 History of the Nomenclature
		3.1 Prior to 1980
		3.2 1980
		3.3 After 1980
	4 The Gabrielsen Dilemma
	5 Textbook Treatment of the Acronyms
	6 Use of the Acronyms in the Journal of Productivity Analysis
	7 Who Cares?
	8 The ``Final'' Verdict
	9 COLS in the JPA
	10 MOLS in the JPA
	11 A Collection of COLS Results
	References
Stochastic Frontier Analysis with Maximum Entropy Estimation
	1 Introduction
	2 Maximum Entropy Estimation
		2.1 Generalized Maximum (Cross) Entropy Estimator
		2.2 ME Estimation in SFA
	3 An Application to Eco-Efficiency Analysis of European Countries
	4 Concluding Remarks
	References