4.1 Article

Modeling CRS bounded additive DEA models and characterizing their Pareto-efficient points

Journal

JOURNAL OF PRODUCTIVITY ANALYSIS
Volume 40, Issue 3, Pages 285-292

Publisher

SPRINGER
DOI: 10.1007/s11123-012-0324-9

Keywords

Data envelopment analysis; Additive models; Bounded technology

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Dealing with weighted additive models in Data Envelopment Analysis guarantees that any projection of an inefficient unit belongs to the strong efficient frontier, among other interesting properties. Recently, constant returns to scale (CRS) range-bounded models have been introduced for defining a new additive-type efficiency measure (see Cooper et al. in J Prod Anal 35(2):85-94, 2011). This paper continues such earlier work further, considering a more general setting. In particular, we show that under free disposability of inputs and outputs, CRS bounded additive models require a double set of slacks. The second set of slacks allows us to properly characterize all the Pareto-efficient points associated to the bounded technology. We further introduce the CRS partially-bounded additive models.

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