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| Author: | Oullette, P. Vierstraete, V. |
| Title: | Technological change and efficiency in the presence of quasi-fixed inputs: A DEA application to the hospital sector |
| Journal: | European Journal of Operational Research
2004 : MAY, VOL. 154:3, p. 755-763 |
| Index terms: | Data envelopment analysis Health service Hospitals Technology Efficiency Productivity Canada |
| Language: | eng |
| Abstract: | Quasi-fixed inputs are present in virtually all sectors of the economy and cannot be adjusted to their optimal value even in the long-run. This constraint must be incorporated in models to correctly measure efficiency and technological change. Assuming that all inputs can be freely and instantly set to their optimal level overestimates firms/sectors/countries' capacity to adjust, biases results, and weakens DEA (data envelopment analysis) method as a working tools for managers. The authors propose a modified DEA approach introducing quasi-fixed inputs and apply the method to hospital emergency services in Montreal to show that such limitations can be lifted. |
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