IDEAS home Printed from https://ideas.repec.org/a/eme/sefpps/v29y2012i3p197-210.html
   My bibliography  Save this article

Productivity growth of zakat institutions in Malaysia: An application of data envelopment analysis

Author

Listed:
  • Norazlina Abd. Wahab
  • Abdul Rahim Abdul Rahman

Abstract

Purpose - The purpose of this paper is to analyze the changes in productivity of zakat institutions in Malaysia from 2003 to 2007. The data consist of a panel of 14 State Islamic Religious Councils (SIRCs) in Malaysia. Efficiency is measured by the Malmquist Index, using a data envelopment analysis (DEA) technique. Design/methodology/approach - This paper uses Malmquist Productivity Index, using a DEA technique. The Malmquist productivity measures are decomposed into two components: efficiency change and technical change index. Findings - The results showed that total factor productivity (TFP) has increased slightly for the whole industry, which is mainly due to the technical change rather than the efficiency change. Further decomposition of the efficiency change into its pure technical and scale efficiency components suggest that the pure efficiency is found to be a more important source of efficiency change than scale efficiency component. Originality/value - This paper investigates the productivity and efficiency of zakat institutions in Malaysia. It will be of value to provide evidence to the policy makers to improve the efficiency of the institutions.

Suggested Citation

  • Norazlina Abd. Wahab & Abdul Rahim Abdul Rahman, 2012. "Productivity growth of zakat institutions in Malaysia: An application of data envelopment analysis," Studies in Economics and Finance, Emerald Group Publishing, vol. 29(3), pages 197-210, July.
  • Handle: RePEc:eme:sefpps:v:29:y:2012:i:3:p:197-210
    as

    Download full text from publisher

    File URL: http://www.emeraldinsight.com/10.1108/10867371211246876?utm_campaign=RePEc&WT.mc_id=RePEc
    Download Restriction: Access to full text is restricted to subscribers

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eme:sefpps:v:29:y:2012:i:3:p:197-210. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Virginia Chapman). General contact details of provider: http://www.emeraldinsight.com .

    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.

    We have no references for this item. You can help adding them by using 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.