Volume 6, No. 1, April 2007

 

Measuring Scale Efficiency Change Using a Translog Distance Function
Kostas Kounetas
Department of Economics, University of Patras, Greece
Kostas Tsekouras
Department of Economics, University of Patras, Greece
Abstract
We derive a measure of scale efficiency change in the case of a translog output-oriented, multi-input, multi-output distance function without imposing restrictions in previous analogous works by Ray (1998, 1999) and Balk (2001). This may be particularly useful in productivity analysis based on the Malmquist productivity index.
Key words: most productive scale size (MPSS); scale efficiency change; translog function
JEL classification: B41; D20; D21

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