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Comparing Like with Like in Productivity Studies: Apples, Oranges and Electricity

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  • JOHN ZEITSCH
  • DENIS LAWRENCE
  • JOHN SALERIAN

Abstract

A methodology is developed to incorporate operating environment variables in the measurement of Total Factor Productivity. When no account is taken of operating environments, the Queensland Electricity Supply Industry (QES1) was found to be 13 per cent more productive than the New South Wales Electricity Supply Industry (NSWES1). However, when performance is adjusted for the relatively large area serviced by the QESI, the productivity advantage it has over the NSWESI expands to about 20 per cent.

Suggested Citation

  • John Zeitsch & Denis Lawrence & John Salerian, 1994. "Comparing Like with Like in Productivity Studies: Apples, Oranges and Electricity," The Economic Record, The Economic Society of Australia, vol. 70(209), pages 162-170, June.
    • Handle: RePEc:bla:ecorec:v:70:y:1994:i:209:p:162-170
    DOI: 10.1111/j.1475-4932.1994.tb01835.x
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    References listed on IDEAS

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    1. Peter L. Swan, 1990. "Real Rates of Return in Electricity Supply: New South Wales, Tasmania and Victoria," The Economic Record, The Economic Society of Australia, vol. 66(2), pages 93-109, June.
    2. Caves, Douglas W & Christensen, Laurits R & Diewert, W Erwin, 1982. "Multilateral Comparisons of Output, Input, and Productivity Using Superlative Index Numbers," Economic Journal, Royal Economic Society, vol. 92(365), pages 73-86, March.
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    Cited by:

    1. Alexandre Repkine, 2010. "The Estimation of Meta-Frontiers by Constrained Maximum Likelihood," Discussion Paper Series 1011, Institute of Economic Research, Korea University.

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