scholarly journals Re-Examining Regional Total-Factor Water Efficiency and Its Determinants in China: A Parametric Distance Function Approach

Water ◽  
2018 ◽  
Vol 10 (10) ◽  
pp. 1286 ◽  
Author(s):  
Jiao Zheng ◽  
Hengquan Zhang ◽  
Zhencheng Xing

It is accepted that improving water efficiency is a key task for China in achieving water sustainability, as the knowledge of water efficiency and its determinants can provide critical information for water policy formulation. To this end, this paper presents a parametric frontier approach to analyze water efficiency performance and its influencing factors in one step. The proposed approach first introduces the Shephard water distance function to construct total-factor water efficiency (TFWE) index and then adopts the stochastic frontier analysis (SFA) technique to compute the index and its determinants. A case study of regions in China from 2000 to 2015 is presented. The main findings are summarized as follows: (1) Both the overall China and most of the regions still have room for improvement in water efficiency. SFA and data envelopment analysis (DEA) might lead to different results in benchmarking water efficiency. Moreover, SFA has higher discriminating power than DEA in this regard. (2) There exists significant disparity of water efficiency among the regions of China, and the difference in TFWE takes on a U-shaped evolution trend, which first decreases in a fluctuation way and then increases monotonically. (3) Factors like industrial structure, import and export trade, environmental regulation and urbanization level have a positive impact on water efficiency, while resource endowment and economic level exhibit negative and nonlinear effects, respectively. Finally, several policy recommendations are made to improve water efficiency levels and promote water sustainability.

2019 ◽  
Vol 65 (No. 10) ◽  
pp. 445-453
Author(s):  
Tamara Rudinskaya ◽  
Tomas Hlavsa ◽  
Martin Hruska

This paper deals with the technical efficiency analysis of farms in the Czech Republic. The empirical analysis provides an evaluation of technical efficiency with regard to the farm size, farm specialisation, and farm location. Accounting data of Czech farms from the Albertina database for the years 2011–2015 were used for the analysis. The data were classified by the utilised agricultural area and location of the farm expressed as a less favoured area type from the Land Parcel Identification System (LPIS) database. Research was conducted using the translogarithmic production function and Stochastic Frontier Analysis. The results indicate positive impact of farm size, expressed by utilised agricultural area, on technical efficiency. The analysis of the impact of farm specialisation on technical efficiency verified that farms specialised on animal production are more efficient. The lowest technical efficiency is shown by farms situated in mountainous Less Favoured Areas (LFAs), the highest technical efficiency by farms located in non-LFA regions.


2016 ◽  
Vol 19 (2) ◽  
pp. 271 ◽  
Author(s):  
Sri Wahyuni ◽  
Pujiharto Pujiharto

This study aims to measure the efficiency of profit and examine the factors that affect the efficiency of shariah banks profit in Indonesia such as the size of banks, risk financing, and capital adequacy. This study used the Shariah banks in Indonesia, during the period of 2010-2014. These shariah banks were selected as the sample Commercial shariah banks and Shariah Business Units. This study uses three stages of research. First, it measures the efficiency of profit using a parametric approach that is Stochastic Frontier Approach (SFA). Secondly, its uses regression profit efficiency scores with various determinants of profit efficiency. The third phase is testing the efficiency score during the global crisis (2008-2009) and after the global crisis period (2010-2014). It shows that in overall there occurred profit efficiency in the shariah banks in Indonesia as it was indicated by the score of profit efficiency that is less than one. The inefficiency occurred in both Shariah banks and shariah business units. Bank size has a positive impact on profit efficiency. The bigger the bank, the better profit efficiency is. It can be implied that this research provides the managers the clues that shariah banks should improve their profit efficiency management. For Bank Indonesia, they can use this evidence to design policies that can encourage profit efficiency in shariah banks.


2013 ◽  
Vol 29 (5) ◽  
pp. 1411
Author(s):  
Sandrine Kablan ◽  
Ouidad Yousfi

<p>Our study tries to determine what drives the efficiency of Islamic banks. To this purpose, we use the stochastic frontier analysis in one step. This allows us to take into account in the frontier function, explanatory variables which influence efficiency. We find that market power and profitability have a positive impact on Islamic banks efficiency, while it is the contrary for their size. Besides, Islamic banks display an average efficiency score of 92%, with Islamic banks settled down in Asia displaying the highest score (96%). Indeed, countries like Malaysia and Pakistan undertake reforms in order to allow banks to better cope with the existing financial system. On the contrary, Islamic banks operating in countries with Islamic banking as government legislation are not the most efficient ones.</p>


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