Data Envelopment Analysis of Input-Output Efficiency: A Nonparametric Approach

This study examines input-output efficiency (EF) as the dependent variable. We employ Data Envelopment Analysis (DEA), a nonparametric method introduced by Charnes et al. (1978), to compare the relative efficiencies of decision units. DEA offers a flexible approach that does not necessitate a predefined functional form for the production function or specific evaluation criteria. Instead, it leverages input-output data to assess the efficiency of each unit.