chapter  8
18 Pages

- Data Envelopment Analysis

Traditionally, data envelopment analysis (DEA) and regression-based methods such as deterministic and stochastic models were widely used to measure the technical efficiency of decision-making units (DMUs). The main difference between DEA and regression-based methods is that DEA is a non-parametric approach while regressionbased methods are parametric. Several papers compared DEA with regression-based methods with respect to efficiency, flexibility, robust, assumptions, and sample sizes (Cooper and Tone, 1997; Ruggiero, 1998; Chen, 2002).