Three-stage DEA models for incorporating exogenous inputs

Three-stage DEA models for incorporating exogenous inputs

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Article ID: iaor2010987
Volume: 37
Issue: 6
Start Page Number: 1087
End Page Number: 1090
Publication Date: Jun 2010
Journal: Computers and Operations Research
Authors: , ,
Abstract:

In this paper, we discuss three-stage models that control for exogenous, non-discretionary inputs in data envelopment analysis. In a recent article in this journal, Monte Carlo analysis was employed to compare and contrast alternative DEA models that measure efficiency in the presence of exogenous variables. The methodology for comparison was flawed, calling into question the results presented. We introduce new second-stage models and compare and contrast them with simulated data.

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