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Journal of Productivity Analysis

, Volume 3, Issue 1–2, pp 67–84 | Cite as

The relative efficiency of public versus private municipal bus firms: An application of data envelopment analysis

  • Kuo-Ping Chang
  • Pei-Hua Kao
Article

Abstract

This article has employed the data envelopment analysis method to evaluate the efficiency of the five bus firms in Taipei city. When vehicle kilometers (revenue or the measure combining vehicle kilometers, revenue and the number of traffic trips on routes) was used as the output measure, it concluded that the publicly owned Taipei Municipal Bus had increased (not increased) its technical efficiency after the government liberalized the urban bus market. This article also found that in both the one output (vehicle kilometers) and three outputs cases, Taipei Municipal Bus had, on an average, lower efficiency scores than the private firms, and that while each firm usually employed a linear production technology for several, consecutive years the private firms were more flexible in adopting different technologies.

Keywords

Data Envelopment Analysis Production Technology Technical Efficiency Lower Efficiency Relative Efficiency 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Kluwer Academic Publishers 1992

Authors and Affiliations

  • Kuo-Ping Chang
    • 1
  • Pei-Hua Kao
    • 1
  1. 1.Department of EconomicsNational Tsing Hua UniversityHsinchuTaiwan, R.O.C.

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