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Enumeration algorithms for FDH directional distance functions under different returns to scale assumptions

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  • Kristiaan Kerstens

    (IESEG School of Management)

  • Ignace Van de Woestyne

    (KU Leuven)

Abstract

Computing directional distance functions for a free disposal hull (FDH) technology in general requires solving nonlinear mixed integer programs. Cherchye et al. (J Product Anal 15(3):201–215, 2001) provide an enumeration algorithm for the FDH directional distance function in case of a variable returns to scale technology. In this contribution, we provide fast enumeration algorithms for the FDH directional distance functions under constant, nonincreasing, and nondecreasing returns to scale assumptions. Consequently, enumeration algorithms are now available for all commonly used returns to scale assumptions.

Suggested Citation

  • Kristiaan Kerstens & Ignace Van de Woestyne, 2018. "Enumeration algorithms for FDH directional distance functions under different returns to scale assumptions," Annals of Operations Research, Springer, vol. 271(2), pages 1067-1078, December.
    • Handle: RePEc:spr:annopr:v:271:y:2018:i:2:d:10.1007_s10479-018-2791-5
    DOI: 10.1007/s10479-018-2791-5
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