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On the Efficiency of Manufacturing Sectors: Evidence from a DEA Additive Bootstrap Model for Tunisia

Author

Listed:
  • Mohamed Mehdi Jelassi

    (Department of Quantitative Methods & LEFA, IHEC Carthage, Carthage University)

  • Ezzeddine Delhoumi

    (Department of Quantitative Methods & LEFA, IHEC Carthage, Carthage University)

Abstract

In this study we apply a DEA additive (Range Adjusted Measure (RAM)) bootstrap model to evaluate industrial sectors of a small open economy according to an input-output efficiency measure. The technical efficiency of the Tunisian manufacturing sectors is estimated for the possible time period following the 90's reform initiatives. The sources of inefficiencies in each sector are also quantified. Our estimates reveal that the most efficient sectors are the wood, followed by the chemicals and the electrical and electronics sectors, whereas the least efficient ones are the non-metallic, food and beverages and basic metals and metal products. Our estimates also provide evidence in favor of an eventual pick-up in the overall efficiency of the manufacturing sectors starting in early 2000's after a steady decline in overall efficiency during the late 90's.

Suggested Citation

  • Mohamed Mehdi Jelassi & Ezzeddine Delhoumi, 2017. "On the Efficiency of Manufacturing Sectors: Evidence from a DEA Additive Bootstrap Model for Tunisia," Economics Bulletin, AccessEcon, vol. 37(2), pages 1393-1400.
    • Handle: RePEc:ebl:ecbull:eb-16-00873
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    File URL: http://www.accessecon.com/Pubs/EB/2017/Volume37/EB-17-V37-I2-P126.pdf
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    References listed on IDEAS

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    1. Léopold Simar & Paul W. Wilson, 1998. "Sensitivity Analysis of Efficiency Scores: How to Bootstrap in Nonparametric Frontier Models," Management Science, INFORMS, vol. 44(1), pages 49-61, January.
    2. A. Charnes & W. W. Cooper & E. Rhodes, 1981. "Evaluating Program and Managerial Efficiency: An Application of Data Envelopment Analysis to Program Follow Through," Management Science, INFORMS, vol. 27(6), pages 668-697, June.
    3. Jorge A. Restrepo M & Lorenzo Portocarrero S & Juan Gabriel Vanegas L, 2015. "Industrial Sector Exports In Colombia: Efficient Frontier Analysis," International Journal of Management and Marketing Research, The Institute for Business and Finance Research, vol. 8(2), pages 85-97.
    4. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
    5. World Bank, 2009. "Tunisia's Global Integration : A Second Generation of Reforms to Boost Growth and Employment," World Bank Publications - Books, The World Bank Group, number 6298, December.
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    Cited by:

    1. Shiva Moslemi & Hamidreza Izadbakhsh & Marzieh Zarinbal, 2019. "A new reliable performance evaluation model: IFB-IER–DEA," OPSEARCH, Springer;Operational Research Society of India, vol. 56(1), pages 14-31, March.

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    More about this item

    Keywords

    Data envelopment analysis; Manufacturing industries;

    JEL classification:

    • C6 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling
    • L6 - Industrial Organization - - Industry Studies: Manufacturing

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