Some Determinants of Cost Efficiency in German Public Transport
AbstractThis paper evaluates cost efficiency and some of its managerial determinants in Germany's local public transport. A heteroscedastic stochastic frontier approach reveals that a high degree of tramcar utilisation and a high outsourcing degree influence the efficiency predictions positively. Mean efficiencies lie between 0.849 and 0.952, depending on the applied panel data models accounting for unobserved heterogeneity and observed heterogeneous output variables for tram, light railway, and metro services. The inefficiency levels correspond to a savings potential of between € 1.40 and 4.43 billion based on the € 28.23 billion total costs (in 2006 prices) for 254 observations of thirty-nine companies, 1997-2006. Â© 2011 LSE and the University of Bath
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by London School of Economics and University of Bath in its journal Journal of Transport Economics and Policy (JTEP).
Volume (Year): 45 (2011)
Issue (Month): 1 (January)
Contact details of provider:
Web page: http://www.bath.ac.uk/e-journals/jtep
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Wang, Hung-Jen, 2003. "A Stochastic Frontier Analysis of Financing Constraints on Investment: The Case of Financial Liberalization in Taiwan," Journal of Business & Economic Statistics, American Statistical Association, vol. 21(3), pages 406-19, July.
- De Borger B. & Kerstens K. & Staat M., 2008.
"Transit costs and cost efficiency: bootstrapping non-parametric frontiers,"
2008012, University of Antwerp, Faculty of Applied Economics.
- de Borger, Bruno & Kerstens, Kristiaan & Staat, Matthias, 2008. "Transit costs and cost efficiency: Bootstrapping non-parametric frontiers," Research in Transportation Economics, Elsevier, vol. 23(1), pages 53-64, January.
- Bruno De Borger & Kristiaan Kerstens & Matthias Staat, 2008. "Transit Costs and Cost Efficiency: Bootstrapping Nonparametric Frontiers," Working Papers 2008-ECO-08, IESEG School of Management.
- Meeusen, Wim & van den Broeck, Julien, 1977. "Efficiency Estimation from Cobb-Douglas Production Functions with Composed Error," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 18(2), pages 435-44, June.
- Mehdi Farsi & Aurelio Fetz & Massimo Filippini, 2006.
"Economies of scale and scope in local public transportation,"
CEPE Working paper series
06-48, CEPE Center for Energy Policy and Economics, ETH Zurich.
- Mehdi Farsi & Aurelio Fetz & Massimo Filippini, 2007. "Economies of Scale and Scope in Local Public Transportation," Journal of Transport Economics and Policy, London School of Economics and University of Bath, vol. 41(3), pages 345-361, September.
- Mehdi Farsi & Massimo Filippini, 2008.
"An Analysis of Cost-Efficiency in Swiss Multi-utilities,"
CEPE Working paper series
08-60, CEPE Center for Energy Policy and Economics, ETH Zurich.
- Farsi, Mehdi & Filippini, Massimo, 2009. "An analysis of cost efficiency in Swiss multi-utilities," Energy Economics, Elsevier, vol. 31(2), pages 306-315, March.
- Beniamina Buzzo Margari & Fabrizio Erbetta & Carmelo Petraglia & Massimiliano Piacenza, 2006.
"Regulatory and Environmental Effects on Public Transit Efficiency. A Mixed DEA-SFA Approach,"
CERIS Working Paper
200613, Institute for Economic Research on Firms and Growth - Moncalieri (TO).
- Beniamina Margari & Fabrizio Erbetta & Carmelo Petraglia & Massimiliano Piacenza, 2007. "Regulatory and environmental effects on public transit efficiency: a mixed DEA-SFA approach," Journal of Regulatory Economics, Springer, vol. 32(2), pages 131-151, October.
- William Greene, 2003.
"Distinguishing Between Heterogeneity and Inefficiency: Stochastic Frontier Analysis of the World Health Organization’s Panel Data on National Health Care Systems,"
03-10, New York University, Leonard N. Stern School of Business, Department of Economics.
- William Greene, 2004. "Distinguishing between heterogeneity and inefficiency: stochastic frontier analysis of the World Health Organization's panel data on national health care systems," Health Economics, John Wiley & Sons, Ltd., vol. 13(10), pages 959-980.
- Mehdi Farsi & Massimo Filippini & Michael Kuenzle, 2006.
"Cost Efficiency in Regional Bus Companies: An Application of Alternative Stochastic Frontier Models,"
Journal of Transport Economics and Policy,
London School of Economics and University of Bath, vol. 40(1), pages 95-118, January.
- Mehdi Farsi & Massimo Filippini & Michael Kuenzle, 2004. "Cost Efficiency in Regional Bus Companies: An Application of Alternative Stochastic Frontier Models," CEPE Working paper series 04-33, CEPE Center for Energy Policy and Economics, ETH Zurich.
- Schmidt, Peter & Sickles, Robin C, 1984. "Production Frontiers and Panel Data," Journal of Business & Economic Statistics, American Statistical Association, vol. 2(4), pages 367-74, October.
- David Saal & David Parker & Tom Weyman-Jones, 2007. "Determining the contribution of technical change, efficiency change and scale change to productivity growth in the privatized English and Welsh water and sewerage industry: 1985–2000," Journal of Productivity Analysis, Springer, vol. 28(1), pages 127-139, October.
- Kenneth Train, 2003.
"Discrete Choice Methods with Simulation,"
Online economics textbooks,
SUNY-Oswego, Department of Economics, number emetr2, March Cit.
- Cornes,Richard, 1992. "Duality and Modern Economics," Cambridge Books, Cambridge University Press, number 9780521336017, December.
- Walter, Matthias & Haunerland, Fabian & Moll, Robert, 2011. "Heavily regulated, but promising prospects: Entry in the German Express Coach Market," Transport Policy, Elsevier, vol. 18(2), pages 373-381, March.
- Kumbhakar, Subal C., 1990. "Production frontiers, panel data, and time-varying technical inefficiency," Journal of Econometrics, Elsevier, vol. 46(1-2), pages 201-211.
- Viton, Philip A., 1992. "Consolidations of scale and scope in urban transit," Regional Science and Urban Economics, Elsevier, vol. 22(1), pages 25-49, March.
- Kumbhakar, Subal C., 1991. "Estimation of technical inefficiency in panel data models with firm- and time-specific effects," Economics Letters, Elsevier, vol. 36(1), pages 43-48, May.
- William Roy & Anne Yvrande-Billon, 2007. "Ownership, Contractual Practices and Technical Efficiency: The Case of Urban Public Transport in France," Journal of Transport Economics and Policy, London School of Economics and University of Bath, vol. 41(2), pages 257-282, May.
- Kumbhakar, Subal C & Hjalmarsson, Lennart, 1995. "Labour-Use Efficiency in Swedish Social Insurance Offices," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 10(1), pages 33-47, Jan.-Marc.
- Massimiliano Piacenza, 2006. "Regulatory Contracts and Cost Efficiency: Stochastic Frontier Evidence from the Italian Local Public Transport," Journal of Productivity Analysis, Springer, vol. 25(3), pages 257-277, 06.
- Sébastien Cucurulo, 2011. "L'ouverture à la concurrence des TER, une opportunité d'affirmation de l'AOT régionale en tant que chef de file de l'organisation des transports régionaux ?," Post-Print dumas-00793119, HAL.
- Wolański, Michał, 2011. "Estimation of losses due to the existence of monopolies in urban bus transport in Poland," MPRA Paper 38525, University Library of Munich, Germany.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christopher F. Baum).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.