Measuring the Technical Efficiency of Municipal Water Suppliers: the Role of Environmental Factors
AbstractThis paper extends the multistage procedure set out in Fried et al (1999) to examine the importance of environmental factors when assessing the technical efficiency of water agencies. However, following Simar and Wilson’s (2007) critique of multistage efficiency analyses, the paper uses a bootstrapping approach in order to have consistent inference. Data are from a cross-section of municipal water agencies in Ontario, Canada during 1996. The main findings are that environmental factors explain some of the observed variation in efficiency scores and that water agencies’ relative efficiency scores are changed substantially after controlling for environmental factors.
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Bibliographic InfoPaper provided by Brock University, Department of Economics in its series Working Papers with number 0802.
Length: 24 pages
Date of creation: Jul 2008
Date of revision:
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More information through EDIRC
Water Utility; Data Envelopment Analysis; Technical Efficiency;
Other versions of this item:
- Steven Renzetti & Diane P. Dupont, 2009. "Measuring the Technical Efficiency of Municipal Water Suppliers: The Role of Environmental Factors," Land Economics, University of Wisconsin Press, vol. 85(4), pages 627-636.
- Steven Renzetti & Diane Dupont, 2009. "Measuring the Technical Efficiency of Municipal Water Suppliers: the Role of Environmental Factors," Working Papers 0901, Brock University, Department of Economics, revised Jan 2009.
- Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water
- H42 - Public Economics - - Publicly Provided Goods - - - Publicly Provided Private Goods
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-08-06 (All new papers)
- NEP-EFF-2008-08-06 (Efficiency & Productivity)
- NEP-ENV-2008-08-06 (Environmental Economics)
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.:
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- Kristof De Witte & Rui C. Marques, 2008. "Capturing the environment, a metafrontier approach to the drinking water sector," Center for Economic Studies - Discussion papers ces0804, Katholieke Universiteit Leuven, Centrum voor Economische Studiën.
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- Pizer, William & Harrington, Winston & Shih, Jhih-Shyang & Gillingham, Kenneth, 2004. "Economies of Scale and Technical Efficiency in Community Water Systems," Discussion Papers dp-04-15, Resources For the Future.
- Steven Renzetti, 1999. "Municipal Water Supply and Sewage Treatment: Costs, Prices and Distortions," Canadian Journal of Economics, Canadian Economics Association, vol. 32(3), pages 688-704, May.
- Carvalho, Pedro & Marques, Rui Cunha & Berg, Sanford, 2011.
"A meta-regression analysis of benchmarking studies on water utilities market structure,"
32894, University Library of Munich, Germany.
- Carvalho, Pedro & Marques, Rui Cunha & Berg, Sanford, 2012. "A meta-regression analysis of benchmarking studies on water utilities market structure," Utilities Policy, Elsevier, vol. 21(C), pages 40-49.
- Walter, Matthias & Cullmann, Astrid & von Hirschhausen, Christian & Wand, Robert & Zschille, Michael, 2009. "Quo vadis efficiency analysis of water distribution? A comparative literature review," Utilities Policy, Elsevier, vol. 17(3-4), pages 225-232, September.
- Berg, Sanford V & Marques, Rui Cunha, 2010. "Quantitative studies of water and sanitation utilities: a literature survey," MPRA Paper 32891, University Library of Munich, Germany.
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