An additive two-stage DEA approach creating sustainability efficiency indexes

Halkos, George and Tzeremes, Nickolaos (2013): An additive two-stage DEA approach creating sustainability efficiency indexes.

Abstract

In this paper we apply an additive two-stage data envelopment analysis (DEA) estimator on a panel of 27 Annex I countries for the time period 2006-2010 in order to create sustainability efficiency indexes. The sustainability efficiency indexes are decomposed into economic and eco-efficiency indicators. The results reveal inequalities among the examined countries between the two stages. The eco-efficiency stage is characterized by large inequalities among countries and significantly lower efficiency scores than the overall or/and the economic efficiency stages. Finally, it is reported that a country’s high economic efficiency level does not ensure a high eco-efficiency performance.

• Item Type: MPRA Paper
• Language: English
• Keywords: Additive two-stage DEA; Sustainability efficiency index; Annex I countries
• Subjects: Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q50 - General; C - Mathematical and Quantitative Methods > C1 - Econometric and Statistical Methods and Methodology: General > C14 - Semiparametric and Nonparametric Methods: General; O - Economic Development, Innovation, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity > O44 - Environment and Growth

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