Econometric Approaches

2021 ◽  
pp. 177-190
Author(s):  
Elvira Silva ◽  
Spiro E. Stefanou ◽  
Alfons Oude Lansink
Keyword(s):  
Reduced Form ◽  
Productivity Change ◽  
Productivity Measurement ◽  
Data Set ◽  
Level Data ◽  
Cost Inefficiency ◽  
Micro Level ◽  
Primal And Dual ◽  
The Cost ◽  
Efficiency And Productivity

Econometric approaches provide another avenue to implementing the frameworks and concepts of dynamic efficiency and productivity measurement. This chapter addresses both structural and reduced-form econometric approaches to estimating the dynamic directional distance function directly as well as to estimating the cost function that accommodates technical inefficiency. An application to a farm-level panel data set is presented that estimates the decomposition of dynamic cost inefficiency into technical and allocative inefficiency measures presented in Chapter 4 and then determines the components of primal and dual Luenberger total factor productivity change based on the elaboration of these concepts in Chapter 5. In addition to the discussion of empirical issues, this chapter provides an empirical illustration using micro-level data.

scholarly journals Pass-Through of Emissions Costs in Electricity Markets

2014 ◽  
Vol 104 (9) ◽  
pp. 2872-2899 ◽  
Author(s):  
Natalia Fabra ◽  
Mar Reguant
Keyword(s):  
Electricity Markets ◽  
Price Adjustment ◽  
Reduced Form ◽  
Electricity Prices ◽  
Inelastic Demand ◽  
Level Data ◽  
Micro Level ◽  
Optimal Bidding ◽  
Pass Through ◽  
The Cost

We measure the pass-through of emissions costs to electricity prices. We perform both reduced-form and structural estimations based on optimal bidding in this market. Using rich micro-level data, we estimate the channels affecting pass-through in a flexible manner, with minimal functional form assumptions. Contrary to many studies in the general pass-through literature, we find that emissions costs are almost fully passed through to electricity prices. Since electricity is traded through high-frequency auctions for highly inelastic demand, firms have weak incentives to adjust markups after the cost shock. Furthermore, the costs of price adjustment are small. (JEL D44, L11, L94, L98, Q52, Q54)

scholarly journals Invalid Ballots and Electoral Competition

2016 ◽  
Vol 7 (2) ◽  
pp. 289-310 ◽  
Author(s):  
Gani Aldashev ◽  
Giovanni Mastrobuoni
Keyword(s):  
Electoral Competition ◽  
Negative Relationship ◽  
Data Set ◽  
Electoral Fraud ◽  
Parliamentary Elections ◽  
Electoral Outcome ◽  
Level Data ◽  
Rational Allocation ◽  
Micro Level ◽  
High Share

In close elections, a sufficiently high share of invalid ballots—if driven by voter mistakes or electoral fraud—can jeopardize the electoral outcome. We study how the closeness of electoral race relates to the share of invalid ballots, under the traditional paper-ballot hand-counted voting technology. Using a large micro-level data set from the Italian parliamentary elections in 1994–2001, we find a strong robust negative relationship between the margin of victory of the leading candidate over the nearest rival and the share of invalid ballots. We argue that this relationship is not driven by voter mistakes, protest, or electoral fraud. The explanation that garners most support is that of rational allocation of effort by election officers and party representatives, with higher rates ofdetectionof invalid ballots in close elections.

scholarly journals Electoral Arrangements and Turnout Variance at the Sub-National Level: Comparative Insights from Three Constituencies in Ghana

2020 ◽  
Vol 8 (2) ◽  
pp. 61
Author(s):  
Fortune Agbele
Keyword(s):  
Voter Turnout ◽  
National Level ◽  
Individual Perceptions ◽  
Level Data ◽  
Micro Level ◽  
The Cost ◽  
Cost Of Voting ◽  
Different Levels

Using micro-level data from three constituencies in Ghana, which are cases of high, average and low turnout respectively, I assess whether voters’ perceptions of the cost of voting (resource and time) can explain such variation in voter turnout. Results suggest that in Ghana, such individual perceptions of the cost associated with voting do not help in explaining variance in voter turnout at the constituency level: Across the different levels of turnout, there is little to no variance in voters’ perceptions. I find that the high positive perceptions of the electoral processes across high, average, and low turnout constituencies are not only due to the activities of the electoral management body but among others, the adjustments by citizens to the process based on their experiences from past elections.

Determinants of Cost Efficiency and Productivity Growth of the Indonesian Insurance Industry

2016 ◽  
Vol 6 (2) ◽  
pp. 70-82 ◽  
Author(s):  
Viverita ◽  
Shinta Wulandari ◽  
Emilyn Cabanda
Keyword(s):  
Cost Efficiency ◽  
Insurance Industry ◽  
Productivity Change ◽  
Negative Effects ◽  
Technological Advances ◽  
New Findings ◽  
Insurance Firms ◽  
The Cost ◽  
Efficiency And Productivity ◽  
Property Casualty

This paper provides new empirical evidences on determinants of cost efficiency and productivity performance of life and property-casualty insurance firms in Indonesia. Data envelopment analysis (DEA) method is used to investigate the cost efficiency and Total Factor Productivity (TFP) among a balanced panel of 118 insurance firms (35 life insurance and 83 property-casualty insurance) over the period of 2006-2008. Results show that on average, insurers were operating at a low level of cost efficiency. However, by constructing the Malmquist Indices, this research finds a positive productivity change for the two types of insurance firms due to an increasing use of technological advances. Furthermore, the paper estimates the influence of some environmental variables on the cost efficiency using a multiple regression analysis. New findings indicate significant negative effects among types of insurance, size, and solvency on the firm's cost efficiency. Meanwhile, market share and ownership structure have positive but insignificant effects on the firms' efficiency. These findings are additional empirical evidences for the efficiency analysis of life and property-casualty insurance in a developing country.

Measurement of financial efficiency and productivity of Turkish Public Universities by using non-parametric methods

2019 ◽  
Vol 11 (4) ◽  
pp. 876-896
Author(s):  
Aslı Günay ◽  
Murat Ali Dulupçu
Keyword(s):  
Total Factor Productivity ◽  
Public Universities ◽  
Productivity Index ◽  
Productivity Change ◽  
Data Envelopment ◽  
Factor Productivity ◽  
Financial Efficiency ◽  
Data Set ◽  
Content Type ◽  
Efficiency And Productivity

Purpose The purpose of this paper is to measure the financial efficiency and productivity of 23 public universities founded in 1992 in Turkey over the period between 2004 and 2013. The results obtained will provide managerial information and act as a guide to public universities’ administrations, in using their resources more effectively. Design/methodology/approach Data envelopment analysis is applied to assess the relative financial efficiency of these universities, while Malmquist total factor productivity index is used to measure the total factor productivity change concerning financial inputs of the universities. Findings The number of financially efficient universities and the number of universities showing an increase in their productivity according to their financial inputs change annually and both of them display a rough trend over the years. A decrease of about 5 percent in the financial productivity of the universities is observed which stems from a technological recession. Therefore, public universities in Turkey are not able to develop effective policies to diversify, increase and use their financial resources. Originality/value When the lack of studies within the literature measuring the financial efficiency of higher education institutions is taken into account, this study can fill a gap in this area. The analyses conducted here distinguish from existing studies on this subject with regards to the extent and diversity of financial data set and the measurement of both efficiency and productivity change of universities considering financial inputs concurrently.

Application of a robust data envelopment analysis model for performance evaluation of electricity distribution companies

2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Alireza Fallahi ◽  
Fatemeh Fallahi ◽  
Hassan Sarhadi ◽  
S.F. Ghaderi ◽  
Reza Ebrahimi
Keyword(s):  
Data Envelopment Analysis ◽  
Technical Efficiency ◽  
Stability Test ◽  
Productivity Change ◽  
Data Envelopment ◽  
Electricity Distribution ◽  
Productivity Measurement ◽  
Content Type ◽  
Informed Decisions ◽  
Efficiency And Productivity

Purpose This study evaluates the efficiency and productivity change of 39 electricity distribution companies in Iran over the period 2005-2014. For purposes of electricity management and utilization of scarce resources, Iran’s 33 provinces have been classified into five regions by the Ministry of the Interior. Analyzing the efficiency of distribution companies across these regions yields significant understanding of these resources and helps policymakers to generate more informed decisions. Design/methodology/approach The proposed method of this study develops nonparametric data envelopment analysis (DEA) with the consideration of geographic classification, size and type of company. At the first stage, a DEA model is used to estimate the relative technical efficiency and productivity change of these companies. At the second stage, distributions of efficiency improvements are examined based on geographic classification, size and type of the company type. A stability test is also conducted to verify the proposed model’s robustness. Findings The results demonstrate that the average technical efficiency of the companies increased during the years 2006-2009, but decreased during 2010-2014. The productivity measurement reveals that low efficiency change was the largest contributor to the small increase in productivity change rather than technology change. In addition, testing the hypothesis that the large and small companies have statistically the same efficiency scores revealed no statistical difference among them. Moreover, another test did not detect a difference among companies at the urban and provincial levels. Practical implications By applying this approach, policymakers and practitioners in the power industry at the country and corporate level can effectively compare the efficiency and productivity changes among electricity distribution companies, and therefore generate more informed decisions. Originality/value The paper’s novel concept applies DEA to Iran’s electricity distribution companies and analyzes them by examining geographic classification, size and the type of the companies. In addition, a stability test is conducted and productivity changes are estimated.

House price and household consumption in China: evidence from micro-level data

2020 ◽  
Vol 13 (3) ◽  
pp. 475-501
Author(s):  
Xiaojun Yuan ◽  
Yinjie Shen ◽  
Haigang Zhou
Keyword(s):  
House Prices ◽  
House Price ◽  
Household Consumption ◽  
Data Set ◽  
Vast Number ◽  
Content Type ◽  
Level Data ◽  
Micro Level ◽  
Chinese Housing Market ◽  
The Relationship

Purpose This paper aims to identify how house price affects household consumption. Design/methodology/approach The authors use a micro-level data set that tracks the house price and consumption of a vast number of households over a period of four years. OLS regression is the main econometric method. Findings The authors document robust evidence that an increase in house prices stimulates household consumption, regardless of whether a household owns or rents. Moreover, the authors find that both acquiring and losing homeownership negatively affects household consumption. Further investigation suggests significant regional heterogeneity in the relationship between house prices and household consumption. Originality/value This is one of the first studies examining the relationship between house price and household consumption in China using micro-level data. Given the uniqueness of the Chinese housing market and China’s fast-growing consumption rate, the study contributes new evidence to the long-lasting debate.

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