Print Email Facebook Twitter The use of the scaling property in a frontier analysis of a system of equations Title The use of the scaling property in a frontier analysis of a system of equations: An application to Dutch secondary education Author Blank, J.L.T. (TU Delft Economics of Technology and Innovation) Date 2020 Abstract This article presents a one-stage efficiency frontier analysis based on the scaling property. This type of analysis is a not very often applied in empirical work in spite of its nice features. Due to the scaling property the influence of exogenous (managerial) variables on efficiency can be modelled and estimated in one stage. It also opens the possibility of estimating a system of equations, consisting of a cost function and the corresponding cost share equations. The model is applied to a unique data set of Dutch secondary education school boards in the period 2007–10, not only consisting of regular data on cost, inputs and outputs, but also of specific data on operational management. The model provides reliable and plausible estimates for the cost efficiency, scale elasticity, and technical change. Average cost efficiency is about 96%. Economies of scale prevail for school boards with size less than 0.8 times average size, whereas annual productivity growth is 2.2% on average. Subject Cost frontier analysiseducationscaling propertyschool boardssystem of equations To reference this document use: http://resolver.tudelft.nl/uuid:ced7dfb4-e47f-4b35-9765-03b45a2bfd4e DOI https://doi.org/10.1080/00036846.2020.1763246 Embargo date 2021-12-22 ISSN 0003-6846 Source Applied Economics, 52 (49), 5364-5374 Part of collection Institutional Repository Document type journal article Rights © 2020 J.L.T. Blank Files PDF The_use_of_the_scaling_pr ... ations.pdf 1.63 MB Close viewer /islandora/object/uuid:ced7dfb4-e47f-4b35-9765-03b45a2bfd4e/datastream/OBJ/view