A computer program for frontier production function estimation

Coelli, Tim

doi:10.1016/0165-1765(92)90096-h

Cited by 591 publications

(709 citation statements)

References 11 publications

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“…The variables "year1" and "year2" account for both technical change in the stochastic frontier and time-varying inefficiency effects. The results were obtained by using FRONTIER 4.1 (Coelli, 1996).…”

Section: Discussionmentioning

confidence: 99%

The Impact of Intergovernmental Grants on Cost Efficiency: Theory and Evidence from German Municipalities

Kalb

2010

Economic Analysis and Policy

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Dis cus si on Papers are inten ded to make results of ZEW research prompt ly avai la ble to other eco no mists in order to encou ra ge dis cus si on and sug gesti ons for revi si ons. The aut hors are sole ly respon si ble for the con tents which do not neces sa ri ly repre sent the opi ni on of the ZEW. Terms of use: Documents in EconStor mayDownload this ZEW Discussion Paper from our ftp server:ftp://ftp.zew.de/pub/zew-docs/dp/dp08051.pdf Non-Technical SummaryA key issue in the theoretical and empirical literature of public finance is how intergovernmental grants influence the level of local public spending of the recipient government.Researchers have been particularly interested in whether grants from the federal government stimulate higher levels of overall spending by local governments or rather substitute for local tax revenue. The first effect is called the 'flypaper effect' following Arthur Okun's observation that 'money sticks where it hits'. In contrast, an aspect which has attracted far less attention in the flypaper literature is concerned with the question whether observed changes in expenditures are associated with analogous changes in the actual level of public goods or services or whether increases in expenditures lead (at least to some extent) to a waste of resources (or X-inefficiency) and losses in productive efficiency.Given this background the aim of this paper is to add to the existing literature by studying the causal effects of intergovernmental grants on local technical efficiency in Germany. For this purpose we use a simple bureaucracy model and introduce the possibility that the federal government is able to give (lump sum) grants to the local government as a substitute for local tax revenues. Moreover, we assume that the citizens of the local jurisdiction are susceptible to a misperception of the true tax price of the local public goods or services due to fiscal illusion. In fact, it is assumed that a higher amount of intergovernmental grants leads to an underestimation of the true tax price by the citizens and therefore to a higher demand of public output. Using this framework we analyse how a higher degree of redistribution, that is an increase in the amount of grants to the local government, affects the technical efficiency in the provision of public goods and services in this local jurisdiction. We find that a higher degree of redistribution has a negative impact on the technical efficiency in the local jurisdiction.Finally...

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Section: Discussionmentioning

confidence: 99%

The Impact of Intergovernmental Grants on Cost Efficiency: Theory and Evidence from German Municipalities

Kalb

2010

Economic Analysis and Policy

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“…In DEA, each bank is assigned an efficiency score between 0 and 1, with higher scores indicating a more efficient bank, relatively to other banks in the sample. A number of studies have addressed DEA models and equations (see for example; Coelli, 1992;1994;Fare, 1985;Farrell, 1957;Seiford, 1990;1996). This study used the Charnes et al (1978) of DEA model to evaluate the performance of listed Bahraini Banks.…”

Section: B) Data Envelopment Analysis (Dea) Approachmentioning

confidence: 99%

Financial Ratios versus Data Envelopment Analysis: The Efficiency Assessment of Banking Sector in Bahrain Bourse

Mousa¹

2015

IJBSA

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“…An important advantage of the specification given by equation (4) is that it facilitates the estimation of the inefficiency effects simultaneously, as a one step procedure, with the parameters of the stochastic frontier given by equations (1) Greene, 2007). 36 All models were estimated using LIMDEP version 9.0 (Greene, 2007) except the BC model which was estimated using the FRONTIER version 4.2 (Coelli, 1996). this specification within the TRE model framework, we are able to control for both observed and unobserved heterogeneity of theatres.…”

Section: Estimation Strategymentioning

confidence: 99%

An analysis of technical efficiency and efficiency factors for Austrian and Swiss non-profit theatres

Zieba

2011

Swiss J Economics Statistics

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Summary This article explores the measurement of the production technology and efficiency of the performing arts sector. The stochastic frontier analysis has been used to estimate the technical efficiency scores for 20 Austrian and 30 Swiss non-profit theatres over 36 and 26 years, respectively. The number of visitors and tickets on offer are considered as two alternative measures of artistic output. The results indicate that individual efficiency estimates are very sensitive to the econometric specification of the unobserved heterogeneity of theatres. In particular, econometric techniques which do not account for this heterogeneity produce much lower efficiency levels. The indefinable dimension of artistic output such as theatre-specific quality may also have an important influence on efficiency estimates. The empirical analysis also delivers the first insights into the impact of exogenous factors on technical efficiency such as the number of theatres in the local area, regional differences and the level of public subsidies.

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A computer program for frontier production function estimation

Cited by 591 publications

References 11 publications

The Impact of Intergovernmental Grants on Cost Efficiency: Theory and Evidence from German Municipalities

The Impact of Intergovernmental Grants on Cost Efficiency: Theory and Evidence from German Municipalities

Financial Ratios versus Data Envelopment Analysis: The Efficiency Assessment of Banking Sector in Bahrain Bourse

An analysis of technical efficiency and efficiency factors for Austrian and Swiss non-profit theatres

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