Return to Dollar, Generalized Distance Function and the Fisher Productivity Index

Exploring the duality between a return to dollar definition of profit and the generalized distance function we establish the relationship between the Laspeyres, Paasche and Fisher productivity indexes and their alternative Malmquist indexes counterparts. By proceeding this way, we propose a consistent decomposition of these productivity indexes into two mutually exclusive components. A technical component represented by the Malmquist index and an economical component which can be identified with the contribution that allocative criteria make to productivity change. With regard to the Fisher index, we indicate how researchers can further decompose the Malmquist technical component rendering explicit the sources of productivity change. We also show how the proposed model can be implemented by means of Data Envelopment Analysis techniques, and illustrate the empirical process with an example data set.     

The Malmquist Productivity Index and Plant Capacity Utilization

A new decomposition of the Malmquist productivity index is proposed to account for changes in plant capacity utilization. Using a primal, non-parametric specification of technology, the Malmquist index is decomposed into technical efficiency change, variations in plant capacity utilization and frontier shifts. It provides an alternative to the available methods of incorporating capacity utilization changes into measures of productivity change. Such measures are based on parametric (and, in many cases, dual) technology specifications; moreover, they typically do not allow for technical inefficiency.
JEL Classification C 61; D 24     

Sulphur emissions and productivity growth in industrialised countries

Abstract ** :  In this paper, we examine the relationship between economic and environmental performance. More specifically, we analyse the impact of SO2 reduction in the eighties (1980–1992) on productivity growth, technical efficiency and technological progress for a set of 12 OECD countries. Our timeframe roughly corresponds to the adoption and implementation of the First Sulphur Protocol signed in 1985. First, we estimate an output based Malmquist productivity index using distance functions derived from successive DEA (Data Envelopment Analysis) frontiers. This index is decomposed in two components namely technical and efficiency change. Second, we regress the change in productivity and its two components on a set of explanatory variables including annual variations in SO2 emissions. The results indicate that reductions in SO2 do not seem to have had a significant impact on productivity growth. The decomposition into efficiency and technology changes suggests that two countervailing effects may explain this result. On one hand, SO2 cutbacks adversely affect efficiency but on the other hand, they stimulate technical change .     

European financial crisis and bank productivity: evidence from Eastern European Countries

The paper examines the productivity levels of the largest banks operating in the Eastern European countries over the period of the ongoing European financial crisis. Specifically, the analysis covers the periods of U.S. subprime crisis, the global financial crisis and the sovereign debt crisis. By adopting a fully nonparametric framework, it provides a probabilistic version of a directional input-oriented Malmquist productivity index alongside with its main decomposition. The results from the analysis suggest that banks have faced a deterioration of their productivity levels between the examined periods. It is evident that during the initiation of European sovereign debt crisis, the banks have weakened their ability to utilize efficiently their inputs of production and their ability to realize scale economies.     

A Comparative Study of Alternative Approaches to Estimate Productivity

Theoretically, for single output-single input, annual productivity are expected to be identical across index, non-parametric programming and parametric statistical approaches. The following models within each approach is considered—index (Tornqvist-Theil and Ideal Fisher), the non-parametric programming (Malmquist input, output and graph; Malmquist total factor productivity) and parametric (Input and Output; total factor productivity) regression. Empirically, for single output-single input, this research show differences in annual productivity and productivity growth rate between and within each of the three approaches using Nebraska agriculture data from 1936 to 2004. The annual productivity growth rate from 1936 to 2004 was identical across non-parametric Malmquist output, input, graph and Malmquist total factor productivity, and parametric Malmquist total factor productivity. However annual productivity estimated by parametric Malmquist total factor productivity is identical to Ideal Fisher productivity.

     

Cost metafrontier approach for measuring the Malmquist productivity index: An example of bank groups formed after the financial reform in Taiwan

This study attempts to provide a framework under the variable returns to scale hypothesis to account for the effect of the cost scale efficiency change in the decomposition of the cost metafrontier Malmquist productivity index (CMMPI). In addition, the meta‐cost efficiency and cost frontier gap between subordinate banks of financial holding companies (FHC) and independent banks are also examined. A total of 34 banks in Taiwan are empirically analysed from 1999 to 2012. The results indicate that the meta‐cost efficiency, meta‐technical efficiency and meta‐allocative efficiency scores of subordinate banks of FHC are better than those of independent banks. The banking industry in Taiwan is found to have an improvement in cost metafrontier Malmquist productivity. The subordinate banks of FHC are also found to exhibit positive CMMPI and decomposition components, but do not achieve a significant improvement except in the case of the technical gap ratio change. The empirical results recommend that Taiwanese banks place more policy focus on the issue of scale adjustment, which should be beneficial. Based on the CMMPI decomposed results, we can gain further understanding of the growth path to enhance operational performance.     

人力资本与区域全要素生产率分析

本文采用Malmquist指数分析了我国30个省级行政区1996—2003年的全要素生产率(TFP)增长,并将其分解为技术进步指数和效率变化指数。为了减少计算偏差,我们在使用承认无效率项存在的生产前沿技术的同时,引入了人力资本要素。本文的分析结果表明我国的人力资本水平增长迅速,30个省区的经济增长效率差距逐年扩大。同时我们发现在引入人力资本要素后,1996—2003年区域全要素生产率的增长得益于技术进步;如果不考虑人力资本存量,则低估了同期的效率提高程度,而高估了期间的技术进步指数。     

Productivity Trends in Australian and New Zealand Manufacturing

The purpose of this article is to study relative trends in total factor productivity (TFP) between the Australian and New Zealand manufacturing sectors from 1986 to 1996. Since 1984 both economies have undergone major structural changes with varying degrees of speed and intensity. We use the Malmquist index to measure TFP growth and decompose it into an efficiency change and a technical change component. This decomposition provides extra insight on assessing relative productivity trends during a period of economic reform. The results indicate the Australian manufacturing sector exhibits better rates of individual factor productivity performance while multifactor productivity is estimated to be higher in New Zealand manufacturing. TFP growth in New Zealand is driven by technical rather than efficiency change. In fact, the New Zealand manufacturing average rate of efficiency change is estimated to be negative over the sample period.     

Circularity of the Malmquist productivity index

The geometric mean version of the Malmquist productivity index does not satisfy the circular test, and its component adjacent period indexes can give different productivity change measures for the same data. A fixed-base version of the index solves both problems, but it is not independent of the base period. It has been argued that time-neutrality of technical change is necessary and sufficient for all three properties to hold. We show that time-neutrality is sufficient, but not necessary, for all three properties. We develop a weaker version of time-neutrality that is necessary and sufficient for all three properties to hold. We thank a very perceptive referee for helpful comments, although content remains our responsibility. A longer working paper is available on request.     

Efficiency and credit rating in Taiwan banking: data envelopment analysis estimation

In this article, we use the data envelopment analysis to measure the efficiency of banks before and after credit rating is taken into consideration and we also employ the Malmquist Productivity Index to measure the total factor productivity changes from 2001 to 2003. The results are as follows: (1) There is a positive relationship between the efficiency scores and credit rating, and thus, the credit rating can be a representative to evaluate the performance and quality of a bank; (2) We use the Wilconxon two-sample test of nonparametric statistic to test the influences of credit rating. The empirical result shows that the credit rating is proven to influence the efficiency of banks; (3) The efficiency scores improve in both investment grade (above tw BBB?) and speculation grade (under tw BBB?), when credit rating is taken into consideration. The empirical results show that the efficiency scores of banks with a high credit rating improved relatively more when compared to banks with a lower credit rating; (4) In this research we also adopt the Malmquist index to observe the productivity and efficiency changes from year to year. We obtain results whereby the improvement of efficiency may be influenced greatly both from pure technical and scale efficiency changes.     

中国区域绿色全要素生产率增长差异及收敛分析

文章利用熵值法拟合环境污染综合指数,将其作为经济的非理想产出纳入非参数DEA-Malmquist指数模型,测度了1995-2008年中国29个省份的绿色Malmquist指数,并在此基础上分析了我国的绿色Malmquist指数、绿色技术效率和绿色技术进步率对区域经济增长差距的影响及其时间演化趋势。研究表明:样本期内,我国的环境污染日益严重;考虑环境污染因素后,中国的全要素生产率增长率显著下调,技术进步率的差异是地区经济增长差距的主要原因;我国的绿色Malmquist指数整体上不存在绝对收敛趋势,只有东部地区呈现较典型的俱乐部收敛特征;在控制投资率、从业人员增长率与环境治理力度后,各地区均表现出条件收敛趋势。     

Efficiency change,technological change and capital accumulation in Italian regions: a sectoral study

This paper examines the sources of labour productivity in the Italian regions during the period 1980–2004. Five economic sectors are investigated using data envelopment analysis (DEA) and taking into account productive specialisation and sector inefficiencies. Labour productivity change is decomposed into five components by means of Malmquist productivity indices: intra-sector efficiency change, composition efficiency change, input-biased technical change, magnitude component technical change and capital accumulation. Using bootstrap procedure, the components of labour productivity changes are statistically tested. Efficiency analysis shows that productive specialisation is not a source of inefficiency and efficiency gains can be obtained by sector-specific policies. Thus, it is possible to obtain improvements in efficiency in each sector of activity rather than reallocating resources among sectors. The results of the decomposition by sectors reveal heterogeneous sources of growth. The total economy has shown evidence of non-neutral technical change and, it has been found that agriculture, industry and construction experienced capital using technical change. The analysis of the decomposition of the labour productivity growth is complemented by an analysis of β-convergence.     

我国物流业上市公司全要素生产率的实证分析

利用基于DEA的Malmquist生产率指数法,选取4个投入指标和2个产出指标,对2005—2009年我国22家物流行业上市公司(分为港口类和运输类)的全要素生产率指数及其分解进行动态测算。结果表明:2005—2009年我国22家物流公司的Malmquist生产率指数总体上呈下降趋势,2009年的Malmquist生产率指数最低,该下降趋势主要是由技术水平下降造成的;纯技术效率和规模效率比较低,但呈增长态势;运输类公司的技术效率大于港口类公司,但技术效率年均增长幅度的情况恰好相反;与长三角地区和泛珠三角地区相比,位于环渤海地区的物流行业上市公司的Malmquist生产率指数最高,该地区的物流业发展潜力较大。最后,提出相应的政策建议。     

我国环渤海地区主要港口技术效率的时空差异分析

将DEA方法与Malmquist生产率指数法相结合,测度了2007—2010年我国环渤海地区9大港口的投入-产出效率。结果表明:研究期间,受金融危机的影响,我国环渤海地区主要港口总体的技术效率不佳,但庞大内需使其技术效率呈上升趋势,规模效率过低是导致其技术效率不佳的主要原因,港口的投入-产出效率在很大程度上与港口规模有关;从动态效率来看,9大港口的Malmquist生产率指数整体上呈上升趋势且其增长率为正,但个别港口的Malmquist生产率指数受金融危机的影响明显且有不同程度的下降;不同省份港口的Malmquist生产率指数存在明显差距;技术进步迟滞和规模效率不高是制约我国环渤海地区主要港口的Malmquist生产率指数进一步提高的主要因素。     

Environmentally sensitive productivity growth: A global analysis using Malmquist–Luenberger index

We examine conventional and environmentally sensitive total factor productivity (TFP) in 41 developed and developing countries over the period of 1971 to 1992. Due to the non-availability of reliable input and CO₂ emissions price data, the study uses directional distance function to derive Malmquist–Luenberger (ML) productivity index. The index allows us to decompose the TFP into measures of technical and efficiency changes. DEA is used to compute the directional distance functions. We find that TFP index value is not different when we account for the CO₂ emissions relative to the situation when they are freely disposable. But for the components of TFP change: technical and efficiency changes, the null hypothesis of whether the indexes are the same under two different scenarios cannot be accepted. Issues of catch-up and convergence, or in some cases possible divergence, in productivity are examined within a global framework. The paper also studies the impact of openness on conventional and environmentally sensitive measures of productivity.     

NOTE ON THE PRODUCTIVITY CONVERGENCE OF AIRPORTS IN CHINA

The present paper uses a Malmquist index measure of productivity growth to study the productivity convergence of 25 airports in China during the period 1995–2004. By decomposing the Malmquist index, we find evidence for the convergence of the efficiency level of airports, but not the productivity and technology levels. These results imply that the more productive airports are pushing the frontiers of technology faster by adopting new technology, and that the relative efficiency level of the laggards increases quickly and catches up with the efficiency level of the leaders over time.     

Technological Progress versus Efficiency Gain in Manufacturing Sectors

This study decomposes the nonparametric Malmquist productivity index for 36 Korean manufacturing sectors into two components: technological change and technical efficiency change. The empirical results show that while each sector displays quite different growth patterns, productivity growth is dominated by technological change. Technological change is found to have a negative correlation with efficiency change. Secondary regression performed in this study identifies the relationship between productivity growth measures and several key policy variables, such as effective protection rate, market concentration, and so forth. The productivity estimates are compared with those of the conventional Törnqvist productivity index.     

长三角地区战略性新兴产业TFP增长差异及高端化发展路径研究

采用DEA-Malmquist生产率指数,从影响因素、时间序列以及增长方式等维度对2007—2015年长三角地区战略性新兴产业上市公司全要素生产率变化及其分解项进行研究,并利用σ收敛和绝对β收敛方程对不同类型企业进行收敛性检验。结果表明：长三角战略性新兴产业全要素生产率不断下降,主要源于技术效率降低,产业总体呈现出纯技术效率和规模效率双低的低端化发展倾向;从产业高端化的两个维度,将长三角战略性新兴产业上市公司分为3种不同类型——高效增长型、粗放增长型、悲惨增长型,不同类型企业增长方式差异显著,即应采取适合自身的高端化发展路径;长三角战略性新兴产业上市公司全要素生产率及其分解项收敛性显著,企业差距将不断缩小且最终趋于相同的稳态水平。     

我国高新技术产业专利创新效率演变规律及空间差异研究

运用DEA-Malmquist指数方法对我国1998 -2015年高新技术产业专利全要素生产率进行了测算和分解。结果显示：①总体上看,高新技术产业专利平均全要素生产率呈现上升趋势,主要来自综合技术效率（TEC）的影响;②从各省情况看,Malmquist生产指数空间存在差异,但时间上变化不大;③从东、中、西三大区域层面看,东部和西部Malmquist生产指数都大于1,而中部地区小于1;④基于高技术产业专利创新效率对不同区域进行划分,结果显示高-高型、高-低型、低-高型以及低-低型4种类型省域在地理空间上分布并不规律,但综合技术效率基本呈现西高东低的现象。     

Biased Technical Change and the Malmquist Productivity Index

The Malmquist productivity index has many attractive features. One is that it can be epxressed as the product of a technical efficiency change index and a technical change index. In this paper we express the technical change index as the product of a magnitude index and a bias index. We then express the bias index as the product of an output bias index and an input bias index, and we state conditions under which each bias index makes no contribution to productivity change.