Accounting for technological differences in modelling the performance of airports: a Bayesian approach
This article uses the innovative Bayesian random coefficient frontier model to account for technological differences in the efficiency measurement of UK airports. In separating cost efficiency from technological differences, the model provides more accurate efficiency measures for airports' policy makers. The input/output data used in testing the model reflect on recent figures from the UK airport industry, and as a result link the efficiency measures with the current industry trends such as the increase in oil price, airport capital investments and market expansion. Results from the model estimation showed that the model fits the data well with all coefficients correctly signed and in line with the theoretical requirements. The average cost efficiency for 2007 was around 73.73%, indicating that UK airports are not operating close to a full efficiency level. This article attributed the sources of inefficiencies to the current industry trends and discussed the importance of heterogeneity in future policy formulations at UK airports.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 43 (2011)
Issue (Month): 18 ()
|Contact details of provider:|| Web page: http://www.tandfonline.com/RAEC20|
|Order Information:||Web: http://www.tandfonline.com/pricing/journal/RAEC20|
When requesting a correction, please mention this item's handle: RePEc:taf:applec:v:43:y:2011:i:18:p:2267-2275. 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: (Michael McNulty)
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.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with 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 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.