Two-Person Ratio Efficiency Games

Abstract

This paper demonstrates that a class of two-person games with ratio payoff functions can be solved using equivalent primal-dual linear programming formulations. The game’s solution contains specialized information which may be used to conduct the efficiency evaluation currently done by the CCR ratio model of Data Envelopment Analysis (DEA). Consequently a rigorous connection between DEA’s CCR model and the theory of games is established. Interpretations of these new solutions are discussed in the context of current ongoing applications.

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