IDEAS home Printed from https://ideas.repec.org/p/ags/eaae05/24497.html
   My bibliography  Save this paper

The Need for Theoretically Consistent Efficiency Frontiers

Author

Listed:
  • Sauer, Johannes
  • Hockmann, Heinrich

Abstract

The availability of efficiency estimation software freely distributed via the internet and relatively easy to use recently inflated the number of corresponding applications. The resulting efficiency estimates are often used without a critical assessment with respect to the literature on theoretical consistency, flexibility and the choice of the appropriate functional form. The robustness of policy suggestions based on inferences from efficiency measures nevertheless crucially depends on theoretically well-founded estimates. This paper addresses stochastic efficiency measurement by critically reviewing the theoretical consistency of recently published technical efficiency estimates. The results confirm the need for a posteriori checking the regularity of the estimated frontier by the researcher and, if necessary, the a priori imposition of the theoretical requirements.

Suggested Citation

  • Sauer, Johannes & Hockmann, Heinrich, 2005. "The Need for Theoretically Consistent Efficiency Frontiers," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24497, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaae05:24497
    DOI: 10.22004/ag.econ.24497
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/24497/files/cp05sa02.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.24497?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Baráth, Lajos & Fertő, Imre & Hockmann, Heinrich, 2020. "Technological differences, theoretical consistency, and technical efficiency: The case of Hungarian crop-producing farms," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 12(3), pages 1-17.
    2. Lajos Barath & Heinrich Hockmann, 2016. "Technological differences, theoretically consistent frontiers and technical efficiency: a Random parameter application in the Hungarian crop producing farms," IEHAS Discussion Papers 1636, Institute of Economics, Centre for Economic and Regional Studies.
    3. Juan Cabas Monje & Bouali Guesmi & Amer Ait Sidhoum & José María Gil, 2023. "Measuring technical efficiency of Spanish pig farming: Quantile stochastic frontier approach," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 67(4), pages 688-703, October.

    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:ags:eaae05:24497. See general information about how to correct material in RePEc.

    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 bibliographic 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.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/eaaeeea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.