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Efficiency and patterns of service mix in airport companies: An input distance function approach

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Author Info

  • Abrate, Graziano
  • Erbetta, Fabrizio

Abstract

In this paper an input distance function approach is used to evaluate efficiency and technological characteristics of Italian airport companies for the period 2000-2005. This approach is robust to deviations from neoclassical paradigm in terms of cost-minimizing behavior. Duality relationship between the input distance function and the shadow cost function is exploited to derive cost complementarities among outputs. Empirical findings are used to discuss the economic implications connected to changes in airport organization, involving in particular outsourcing of handling operations and development of commercial activities.

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File URL: http://www.sciencedirect.com/science/article/pii/S1366554509001537
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Bibliographic Info

Article provided by Elsevier in its journal Transportation Research Part E: Logistics and Transportation Review.

Volume (Year): 46 (2010)
Issue (Month): 5 (September)
Pages: 693-708

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Handle: RePEc:eee:transe:v:46:y:2010:i:5:p:693-708

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Related research

Keywords: Airport industry Efficiency measurement Input distance function Cost complementarities Outsourcing;

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Cited by:
  1. Tiziana D’Alfonso & Cinzia Daraio & Alberto Nastasi, 2013. "Assesing the Impact of Competition on the Efficiency of Italian Airports," DIAG Technical Reports 2013-01, Department of Computer, Control and Management Engineering, Università degli Studi di Roma "La Sapienza".
  2. Gitto, Simone & Mancuso, Paolo, 2010. "Airport efficiency: a DEA two stage analysis of the Italian commercial airports," MPRA Paper 34366, University Library of Munich, Germany, revised 10 Oct 2010.
  3. Anna Bottasso & Maurizio Conti, 2010. "An Assessment on the Cost Structure of the UK Airport Industry: Ownership Outcomes and Long Run Cost Economies," Working papers 13, Former Department of Economics and Public Finance "G. Prato", University of Torino.

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