Far out or alone in the crowd: Classification of self-evaluators in DEA
Link to article:
Authors:
Edvardsen, Dag Fjeld, Finn R. Førsund and Sverre AC. Kittelsen
Year:
2003
Reference:
HERO Skrifter
Number in series: 7
Summary
The units found strongly efficient in DEA studies on efficiency can be divided into self-evaluators and active peers, depending on whether the peers are referencing any inefficient units or not. The contribution of the paper starts with subdividing the selfevaluators into interior and exterior ones. The exterior self-evaluators are efficient "by default"; there is no firm evidence from observations for the classification. These units should therefore not been regarded as efficient, and be removed from the observations on efficiency scores when performing a two-stage analysis of explaining the distribution of the scores. A method for classifying self-evaluators based on the additive DEA model is developed. The application to municipal nursing- and home care services of Norway shows significant effects of removing exterior self-evaluators from the data when doing a two-stage analysis.
JEL:
C44, C61, D24, I19, L32
Keywords:
Self-evaluator, interior and exterior self-evaluator, DEA, efficiency, referencing zone, nursing homes
Project:
Oppdragsgiver: Norges forskningsrådOppdragsgivers prosjektnr.:
Frisch prosjekt: 4101 - Economics of health
ISBN:
82-7756-110-5
Contact:
finn.forsund@econ.uio.no
Financing:
The Research Council of Norway
