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Production technologies based on combined proportionality assumptions

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Podinovski, Victor V. (2009) Production technologies based on combined proportionality assumptions. Journal of Productivity Analysis, 32 (1). pp. 21-26. doi:10.1007/s11123-008-0113-7

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Official URL: http://dx.doi.org/10.1007/s11123-008-0113-7

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Abstract

The assumption of full proportionality is incorporated in the constant returns-to-scale (CRS) technology and allows for proportional scaling of inputs and outputs of production units. The assumption of selective proportionality was recently incorporated in the hybrid returns-to-scale (HRS) technology in which only a subset of outputs is proportional to a subset of inputs. In this paper we develop a production technology that exhibits both the full and selective proportionality at the same time. Real examples of such technology are pointed out. Subject to certain conditions, the DEA models based on this technology provide better discrimination than the CRS and HRS models.

Item Type: Journal Article
Subjects: H Social Sciences > HF Commerce
H Social Sciences > HC Economic History and Conditions
H Social Sciences
Divisions: Faculty of Social Sciences > Warwick Business School
Journal or Publication Title: Journal of Productivity Analysis
Publisher: Springer New York LLC
ISSN: 0895-562X
Official Date: August 2009
Dates:
DateEvent
August 2009Published
Volume: 32
Number: 1
Number of Pages: 6
Page Range: pp. 21-26
DOI: 10.1007/s11123-008-0113-7
Status: Peer Reviewed
Publication Status: Published
Access rights to Published version: Restricted or Subscription Access

Data sourced from Thomson Reuters' Web of Knowledge

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