Journal
JOURNAL OF THE OPERATIONAL RESEARCH SOCIETY
Volume 68, Issue 12, Pages 1483-1490Publisher
PALGRAVE MACMILLAN LTD
DOI: 10.1057/s41274-017-0181-z
Keywords
data envelopment analysis; unique equilibrium efficient frontier; fixed-sum outputs; secondary goal approach
Funding
- National Natural Science Funds of China [71222106, 71571173]
- Research Fund for the Doctoral Program of Higher Education of China [20133402110028]
- Foundation for the Author of National Excellent Doctoral Dissertation of P. R. China [201279]
- Top-Notch Young Talents Program of China
- State Scholarship Fund by the Office of China Scholarship Council [201606340054]
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Based on the equilibrium efficient frontier data envelopment analysis (EEFDEA) approach, Fang (J Oper Res Soc 67: 412-420, 2015a) developed an equivalent linear programming model to improve and strengthen the EEFDEA approach. Furthermore, Fang (2015a) indicated that his secondary goal approach can achieve a unique equilibrium efficient frontier. However, through a simple counterexample we demonstrate that Fang's secondary goal approach cannot always achieve uniqueness of the equilibrium efficient frontier. In this paper, we propose an algorithm based on the secondary goal approach to address the problem. The proposed algorithm is proven mathematically to be an effective approach to guaranteeing the uniqueness of the equilibrium efficient frontier.
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