Cost Efficiency Estimation in Network DEA in the Case of Varying Input Prices

Masoomeh Hajiani, Reza Fallahnejad

Abstract


Just like estimating cost efficiency in the usual DEA, it is important to calculate cost efficiency in DMUs with the DEA network. In the existing models, it is assumed that the input prices are the same for all the DMUs. The present paper is aimed to introduce a model for cost efficiency evaluation in DMUs with network structure with different input prices. Subsequently, the proposed network cost efficiency will be decomposed into network allocative, price, and technical efficiencies.

Keywords


Network structure; cost efficiency; non-competitive environment

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