Foundations of data envelopment analysis for Pareto-Koopmans efficient empirical production functions

The construction and analysis of Pareto-efficient frontier production functions by a new Data Envelopment Analysis method is presented in the context of new theoretical characterizations of the inherent structure and capabilities of such empirical production functions.

Abstract

The construction and analysis of Pareto-efficient frontier production functions by a new Data Envelopment Analysis method is presented in the context of new theoretical characterizations of the inherent structure and capabilities of such empirical production functions. Contrasts and connections with other developments, including solutions of some remaining problems, are made re aspects such as informatics, economics of scale, isotonicity and non-concavity, discretionary and non-discretionary inputs, piecewise linearity, partial derivatives and Cobb-Douglas properties of the functions. Non-Archimedean constructs are not required.