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Measuring productivity of research in economics. A cross-country study using DEA

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  • Kocher, Martin G.
  • Luptacik, Mikulas
  • Sutter, Matthias

Abstract

Using a sample of 21 OECD-countries we measure productivity in top-edge economic research by using data envelopment analysis (DEA). DEA is a tool for evaluating relative efficiency and is widely used when there are multiple inputs and outputs and one lacks a specific functional form of a production function. The publications in 10 economics journals with the highest average impact factor over the time period 1980-1998 are taken as research output. Inputs are measured by R&D expenditures, number of universities with economics departments and (as uncontrolled variable) total population. Under constant returns-to-scale the USA are in dominant position with remarkable distance to other countries. Under variable returns-to-scale the efficiency frontier is created by the USA with most productive scale size (MPSS), and by Ireland and New Zealand, which are technical efficient but scale inefficient. All countries - except the USA - display increasing returns-to-scale, which shows that they have a possibility to improve their efficiency by scaling up their research activities.

Suggested Citation

  • Kocher, Martin G. & Luptacik, Mikulas & Sutter, Matthias, 2001. "Measuring productivity of research in economics. A cross-country study using DEA," Department of Economics Working Paper Series 77, WU Vienna University of Economics and Business.
    • Handle: RePEc:wiw:wus005:1632
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    More about this item

    Keywords

    data envelopment analysis (DEA); research in economics; productivity analysis; cross-country study;
    All these keywords.

    JEL classification:

    • A11 - General Economics and Teaching - - General Economics - - - Role of Economics; Role of Economists
    • A14 - General Economics and Teaching - - General Economics - - - Sociology of Economics
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity

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