Type of Credit: Elective
Credit(s)
Number of Students
Industrial economics is to study the functioning of markets. The structure-behavior-performance paradigm is the conventional research approach in the field. In this course, we emphasize the performance evaluation of relevant profit or non-profit firms/agents (decision-making units, DMUs) from the aspects of efficiency and productivity. Specifically, the course’s first objective is to lay the theoretical foundations for the measurement of efficiency and productivity. The second objective is to introduce analytical techniques for finding the efficient frontier and gauging efficiency. The techniques mainly include index numbers, nonparametric data envelopment analysis (DEA), and parametric stochastic frontier approach (SFA).
能力項目說明
With completing this course, the students are able to practically (1) estimate theoretical production functions, cost functions, and profit functions, and further to measure various efficiencies, such as technical efficiency, allocative efficiency, cost efficiency, revenue efficiency , and profit efficiency, in a multi-output, multi-input production situation, (2) ascertain the elements accounting for the efficiency differences among DMUs, (3) calculate and decompose the sources of productivity change, and (4) provide management policies or strategies to improve DMU's operation performance.
| 教學週次Course Week | 彈性補充教學週次Flexible Supplemental Instruction Week | 彈性補充教學類別Flexible Supplemental Instruction Type |
|---|---|---|
每周課程前後學習投入時數=3小時，計18周，第9周考試
Topics
1. Introduction
2. Review of Production Economics
3. Piecewise Linear Production Models (Activity Analysis)
4. Efficiency Measurement Concepts
5. Efficiency Measurement Using Data Envelopment Analysis (DEA)
6. Efficiency Measurement Using Stochastic Frontiers Approach (SFA)
7. Productivity and Productivity Change Measurement Concept
8. Calculation and Decomposition of Productivity Change Using Frontier Methods
midterm exam 50%
term paper 40%
class participation 10%
1. Balk, B.M. (1998), Industrial Price, Quantity, and Productivity Indices: The Micro-Economic Theory and an Application
2. Coelli, T., D., S.P. Rao, C.J. O’Donnell and G.E. Battese (2005), An Introduction to Efficiency and Productivity Analysis, 2nd edition
3. Cooper, W.W., L. Seiford and K. Tone (2007): Data Envelopment Analysis A Comprehensive Text, References and DEA-Solver Software
4. Färe, R. and S. Grosskopf (1996), Intertemporal Production Frontiers: With Dynamic DEA
5. Färe, R. and S. Grosskopf and C.A.K. Lovell (1994), Production Frontiers
6. Färe, R. and S. Grosskopf (2004), New Directions: Efficiency and Productivity
7. Fried, H.O., C. A. Knox Lovell, S.S. Schmidt (eds.) (2008), The Measurement of Productive Efficiency and Productivity Change
8. Kumbhakar, S.C. and C.A.K. Lovell (2000), Stochastic Frontier Analysis
9. Sengupta, J.K. (2000), Dynamic and Stochastic Efficiency Analysis: Economics of DEA
10. Shepherd, W.G. and J.M. Sheperd (2004), The Economics of Industrial Organization