Article ID: | iaor20051976 |
Country: | Netherlands |
Volume: | 154 |
Issue: | 2 |
Start Page Number: | 345 |
End Page Number: | 362 |
Publication Date: | Apr 2004 |
Journal: | European Journal of Operational Research |
Authors: | Seiford Lawrence M., Banker Rajiv D., Thrall Robert M., Zhu Joe, Cooper William W. |
This paper discusses returns to scale (RTS) in data envelopment analysis (DEA) for each of the presently available types of models. The BCC and CCR models are treated in input oriented forms while the multiplicative model is treated in output oriented form. (This distinction is not pertinent for the additive model which simultaneously maximizes outputs and minimizes inputs in the sense of a vector optimization.) Quantitative estimates in the form of scale elasticities are treated in the context of multiplicative models, but the bulk of the discussion is confined to qualitative characterizations such as whether RTS is identified as increasing, decreasing or constant. This is discussed for each type of model and relations between the results for the different models are established. The opening section describes and delimits approaches to be examined. The concluding section outlines further opportunities for research.