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Airport efficiency: a DEA two stage analysis of the Italian commercial airports

Gitto, Simone and Mancuso, Paolo (2010): Airport efficiency: a DEA two stage analysis of the Italian commercial airports.

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Abstract

In this paper we use a two stage procedure, based on bias corrected DEA, to evaluate the impacts of regulatory reforms on technical efficiency of 28 Italian airports during the period 2000–2006. We employ two different DEA models: physical and monetary. The first relies on the aeronautical activities, the second concerns both aeronautical and non aeronautical business and allows us to evaluate the impact of commercial activities on overall airport efficiency. The main results are: i) mixed government-private ownerships with a private majority are more efficient than those with a government majority; ii) the liberalization of ground handling services has produced an increase of efficiency in airside and landside activities; iii) granting all services to airport management companies can be a source of inefficiency due to the lack of competition in the industry; iv) the introduction of dual-till increases overall technical efficiency.

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