Measurement of Congestion in the Simultaneous Presence of Desirable and Undesirable Outputs
The concept of congestion, which is mainly applied in economics, refers to a situation where inputs are overinvested. Many studies have focused on congestion measurement by means of data envelopment analysis (DEA). However, most of the previous investigations only considered the framework of desirab...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
| Published: |
Hindawi Limited
2014-01-01
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| Series: | Journal of Applied Mathematics |
| Online Access: | http://dx.doi.org/10.1155/2014/512157 |
| Summary: | The concept of congestion, which is mainly applied in
economics, refers to a situation where inputs are overinvested. Many
studies have focused on congestion measurement by means of data
envelopment analysis (DEA). However, most of the previous
investigations only considered the framework of desirable outputs.
In fact, firms in the real world unavoidably generate undesirable
outputs (such as pollutants or wastes) along with desirable outputs.
Therefore, a new scheme is required for measuring congestion in the
simultaneous presence of both desirable and undesirable outputs.
This paper develops a nonradial efficiency measure for including
undesirable outputs into the environmental performance. Based on the
proposed model, a new definition and a new approach are presented to
deal with congestion in the simultaneous presence of desirable and
undesirable outputs. Then, this paper uses the presented method to
study the pollutants (waste gas emission and waste discharge) of 31
administrative regions of China. The finding indicates that 7
industries pay attention to the reduction of their pollutants
accompanying improvement of their commercial targets. Consequently,
they do not show congestion in any input. |
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| ISSN: | 1110-757X 1687-0042 |