Decomposing technical efficiency and scale elasticity in two-stage network DEA

  title={Decomposing technical efficiency and scale elasticity in two-stage network DEA},
  author={Biresh K. Sahoo and Joe Zhu and Kaoru Tone and Bernhard M. Klemen},
  journal={European Journal of Operational Research},
The constant returns to scale assumption maintained by neoclassical theorists for justifying the black-box structure of production technology in long run does not necessarily allow one to infer that there are no scale benefits available in its sub-technologies. Most of real-life production technologies are multi-stage in nature, and the sources of increasing returns lie in the sub-technologies. It is, therefore, imperative to estimate the scale economies of a firm not only for the network… CONTINUE READING

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Estimation of returns to scale using data envelopment analysis

  • R. D. Banker, R. M. Thrall
  • European Journal of Operational Research,
  • 1992
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