A note on imposing strong complementary in DEA

Arbeitspapier

A new DEA model has been introduced recently combining the primal and the dual models in order to impose strong complementary slackness conditions. It was claimed that a reference set that contains the maximum number of efficient units can then be determined. The model is very interesting as a theoretical idea. However, not only does the computational burden increase significantly, but it seems also that the basic matrices may be inherently ill-conditioned, leading to wrong results. Numerical experiments have been carried out on two real datasets of medium size with 163 and 920 units. These experiments show pervasive existence of ill-conditioned matrices leading to obviously wrong estimates of efficiency scores, and units declared as efficient reference units while actually being inefficient.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Memorandum ; No. 2010,17

Classification and Topics

• Classification: Wirtschaft ; Optimization Techniques; Programming Models; Dynamic Analysis ; Production and Organizations: General
• Subject: Data envelopment analysis ; BCC model ; DEA/SCSC model ; strong complementary slackness conditions

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Krivonozhko, Vladimir ; Førsund, Finn R. ; Lychev, Andrey V.
• Event: Veröffentlichung
• (who): University of Oslo, Department of Economics
• (where): Oslo
• (when): 2010

Further information

• Handle: http://hdl.handle.net/10419/47286
• Last update: 10.03.2025, 11:44 AM CET