TY - JOUR
T1 - Frontier production functions and technical efficiency measures
AU - Kalirajan, K. P.
AU - Shand, R. T.
PY - 1999
Y1 - 1999
N2 - The concept of technical efficiency is central to measuring the firm performance. The measurement of technical efficiency has proved difficult and complex, and the literature provides a range of methodologies. This paper reviews the various methodologies for measuring technical efficiency and offers a comparison between established methods of measurements. The discussion is literary with less mathematical jargons and equations. The objective of this paper is not to be exhaustive, but to be up-to-date and to provide a significant discussion on some of the core methods of measuring technical efficiency.
AB - The concept of technical efficiency is central to measuring the firm performance. The measurement of technical efficiency has proved difficult and complex, and the literature provides a range of methodologies. This paper reviews the various methodologies for measuring technical efficiency and offers a comparison between established methods of measurements. The discussion is literary with less mathematical jargons and equations. The objective of this paper is not to be exhaustive, but to be up-to-date and to provide a significant discussion on some of the core methods of measuring technical efficiency.
KW - Bayesian frontier approach
KW - Frontier production function
KW - Parametric and non-parametric models
KW - Random coefficient regression model
KW - Technical efficiency
UR - http://www.scopus.com/inward/record.url?scp=0032985407&partnerID=8YFLogxK
U2 - 10.1111/1467-6419.00080
DO - 10.1111/1467-6419.00080
M3 - Article
SN - 0950-0804
VL - 13
SP - 149
EP - 172
JO - Journal of Economic Surveys
JF - Journal of Economic Surveys
IS - 2
ER -