Incorporating heterogeneity in non-parametric models: a methodological comparison
type: Item
instance of: scholarly article
title: Incorporating heterogeneity in non-parametric models: a methodological comparison
zbMATH Open document ID: 1198.91168
DOI: 10.1504/IJOR.2010.035044
author: Kristof De Witte
author: R. C. Marques
published in: International Journal of Operational Research
publication date: 2010-11-12T00:00:00Z
review text: Summary: The operational environment can heavily influence the efficiency scores of the evaluated observations. If heterogeneity among entities is neglected, the efficiency evaluation is strongly biased. In this paper, we discuss five methodologies to incorporate heterogeneity in non-parametric frontier models which are robust for outlying observations. In particular, we examine the frontier separation approach, the all-in-one model, the two-stage model, the multi-stage approach and the conditional efficiency measures. We discuss their appropriateness on a simulated and a real-world drinking water data set. Although, the outcomes are closely related on average, the robust conditional efficiency procedure seems to be superior.
Mathematics Subject Classification ID: 91B76
Mathematics Subject Classification ID: 90C11
Mathematics Subject Classification ID: 62P20
Mathematics Subject Classification ID: 90C05
Mathematics Subject Classification ID: 90B50
zbMATH DE Number: 5815551
zbMATH Keywords: environmental variables
zbMATH Keywords: DEA
zbMATH Keywords: data envelopment analysis
zbMATH Keywords: FDH
zbMATH Keywords: free disposal hull
zbMATH Keywords: heterogeneity
zbMATH Keywords: non-parametric models
zbMATH Keywords: water industry
zbMATH Keywords: efficiency scores
zbMATH Keywords: modelling
zbMATH Keywords: drinking water
MaRDI profile type: Publication
full work available at URL: ijor.2010.035044
OpenAlex ID: W2098009608
description: scientific article; zbMATH DE number 5815551