Technology Gap, Efficiency, and a Stochastic Metafrontier Function

George E. Battese · D. S. Prasada Rao

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Efficiency Analysis Using DEA Economic Growth and Productivity Sports Analytics and Performance

Abstract

This paper considers a stochastic metafrontier function to investigate the tech-nical efficiencies of firms in different groups that may not have the same technology. A decomposition of output is presented involving the technology gap and technical efficiency ratios for firms in a group relative to the best practice in the industry. Key word: JEL classification: C5; D24

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References

1977Formulation and estimation of stochastic frontier production function models 1977Efficiency Estimation from Cobb-Douglas Production Functions with Composed Error 1995A model for technical inefficiency effects in a stochastic frontier production function for panel data 1992Frontier production functions, technical efficiency and panel data: With application to paddy farmers in India

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