| Abstract:
Study of economic efficiency is of particular significance in evaluation
of the public sector of the economy. There two alternative Critorias for the
measurement of efficiency: namely Ratio Analysis, and Frontier Analysis.
The first criteria takes the ratio of inputs as compared to the outputs. The
second criteria, however, first attempts to stablish the product and cost
efficiency frontiers. Then it indicates those activities on the frontier as
optimal operations. While the activities under the frontier are considered
as inefficient. Estimation of efficiency frontiers and comparing the position
of each firm"s location to them is the main stage of analysis.
Both econometric methods and linear Programming methods can be
employed for this purpose.
Data Envelope Analysis (DEA) is a particular linear Programming
method where there is no special depency form.
This paper intends to use the DEA method for the measurement of
factor efficiency in 36 major universities in Iran. The study concludes that
14 of the institutions are found to be efficient under constant return to
scale condition. while under a variable return to scale criteria there are 16
universities categorized as efficient. The average efficiency ratio is
estimated as 0.808 under the first asumption, and it is 0.858 under the
second asumption.
|