Total-Factor Energy Efficiency and Its Extensions: Introduction, Computation and Application
This chapter demonstrates how to use different types of DEA models to compute the total-factor energy efficiency (TFEE) scores, including CCR, Russell, QFI, SBM, DF, and DDF models. The TFEE is a disaggregate input efficiency index. Moreover, the TFEE framework which uses cross-section data can be extended to the total-factor energy productivity (TFEP) growth index by following Malmquist, Leunberger, and Malmquist-Leunberger models which use panel data. Finally, the regional data of Chinese regions during 2010–2011 with inputs and desirable as well as undesirable outputs are used for illustrating the computation of TFEE and TFEP scores.
KeywordsInput efficiency Output efficiency Radial adjustment Slack-based measure (SBM) Fixed inputs Malmquist productivity index Leunberger productivity index
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