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Does Expansion Cause Congestion? The Case of the Older British Universities, 1994 to 2004

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Author Info
Tony Flegg () (School of Economics, University of the West of England)
David O. Allen (School of Economics, University of the West of England)
Abstract

This paper examines whether the rapid growth in the number of students in British universities in recent years has led to congestion, in the sense that certain universities’ output could have been higher if this expansion had been less rapid. The focus of the paper is on 45 older universities that were in existence prior to 1992. The analysis covers the period 1994/5 to 2003/4. Several alternative methods of measuring congestion are examined and, to check the sensitivity of the results to different specifications, three alternative DEA models are formulated. The results indicate that congestion was present throughout the decade under review, and in a wide range of universities, but whether it rose or fell is uncertain, as this depends on which congestion model is used. A crucial point here is whether one assumes constant or variable returns to scale. Nonetheless, all models point to a rise in congestion between 2001/2 and 2003/4, and this may well be a result of the rapid growth that occurred in this period. All models also record a sharp drop in mean technical efficiency in 2003/4. A possible explanation of the absence of a clear-cut trend in congestion is that the student : staff ratio in these universities was relatively stable in the decade under review, rising only gently from 2000/1 onwards.

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File URL: http://carecon.org.uk/DPs/0605.pdf
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Paper provided by University of the West of England, School of Economics in its series Discussion Papers with number 0605.

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Length: 43 pages
Date of creation: May 2006
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Handle: RePEc:uwe:wpaper:0605

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Keywords: British universities congestion DEA

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This paper has been announced in the following NEP Reports: References listed on IDEAS
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  1. Johnes, Geraint, 1997. "Costs and Industrial Structure in Contemporary British Higher Education," Economic Journal, Royal Economic Society, vol. 107(442), pages 727-37, May. [Downloadable!] (restricted)
  2. Cooper, William W. & Seiford, Lawrence M. & Zhu, Joe, 2000. "A unified additive model approach for evaluating inefficiency and congestion with associated measures in DEA," Socio-Economic Planning Sciences, Elsevier, vol. 34(1), pages 1-25, March. [Downloadable!] (restricted)
  3. Fare, R. & Grosskopf, S. & Logan, J., 1985. "The relative performance of publicly-owned and privately-owned electric utilities," Journal of Public Economics, Elsevier, vol. 26(1), pages 89-106, February. [Downloadable!] (restricted)
  4. Philip Andrew Stevens, 2005. "A Stochastic Frontier Analysis of English and Welsh Universities," Education Economics, Taylor and Francis Journals, vol. 13(4), pages 355-374, December. [Downloadable!] (restricted)
  5. Tone, Kaoru, 2001. "A slacks-based measure of efficiency in data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 130(3), pages 498-509, May. [Downloadable!] (restricted)
  6. Cherchye, Laurens & Kuosmanen, Timo & Post, Thierry, 2001. "Alternative treatments of congestion in DEA: A rejoinder to Cooper, Gu, and Li," European Journal of Operational Research, Elsevier, vol. 132(1), pages 75-80, July. [Downloadable!] (restricted)
  7. A. T. Flegg & D. O. Allen & K. Field & T. W. Thurlow, 2004. "Measuring the efficiency of British universities: a multi-period data envelopment analysis," Education Economics, Taylor and Francis Journals, vol. 12(3), pages 231-249, December. [Downloadable!] (restricted)
  8. Tony Flegg & David O. Allen, 2006. "An Examination of Alternative Approaches to Measuring Congestion in British Universities," Discussion Papers 0606, University of the West of England, School of Economics. [Downloadable!]
  9. Cooper, W. W. & Gu, Bisheng & Li, Shanling, 2001. "Comparisons and evaluations of alternative approaches to the treatment of congestion in DEA," European Journal of Operational Research, Elsevier, vol. 132(1), pages 62-74, July. [Downloadable!] (restricted)
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