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Environmental Decision Models With Joint Outputs

  • Shawna Grosskopf

    (Southern Illinois Univ.)

  • Rolf Fare

    (Southern Illinois Univ.)

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    This paper critiques a recent attempt to model pollution prevention using data envelopment analysis (DEA). We contribute an alternative model which explicitly models joint provision of desirable and undesirable outputs (a la Shephard and Fare (1974)), using weak disposability of output. We also extend earlier work by Fare, Grosskopf, Lovell and Pasurka (1989) and Fare, Grosskopf and Pasurka (1986, 1989) to allow for expansion of desirable outputs and contraction of undesirable outputs at different rates.

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    Paper provided by EconWPA in its series Others with number 9502002.

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    Length: 13 pages
    Date of creation: 27 Feb 1995
    Date of revision:
    Handle: RePEc:wpa:wuwpot:9502002
    Note: 13 pages; body is a binary WordPerfect 5.1 document. Each of 2 figures is in binary Word-for-Windows 6.0 and PostScript formats; the four files were FTPed in one PKZIP (2.04g) file. JEL classification: Q2
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    1. Fare, Rolf, et al, 1989. "Multilateral Productivity Comparisons When Some Outputs Are Undesirable: A Nonparametric Approach," The Review of Economics and Statistics, MIT Press, vol. 71(1), pages 90-98, February.
    2. Fare, R. & Grosskopf, S. & Pasurka, C., 1986. "Effects on relative efficiency in electric power generation due to environmental controls," Resources and Energy, Elsevier, vol. 8(2), pages 167-184, June.
    3. 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.
    4. Fare, Rolf & Knox Lovell, C. A., 1978. "Measuring the technical efficiency of production," Journal of Economic Theory, Elsevier, vol. 19(1), pages 150-162, October.
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