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Allocative vs. Technical Efficiency, and Related Matters in Linear Programming

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  • Drynan, Ross G.

Abstract

The relationship between technical and allocative efficiency is examined by drawing on concepts of activity dominance in linear programming. The conclusion is reached that there is no fundamental distinction between technical and allocative efficiency. Other topics addressed in the paper, all connected by the common thread of activity dominance, include activity specification and the nature of returns to scale.

Suggested Citation

  • Drynan, Ross G., 1987. "Allocative vs. Technical Efficiency, and Related Matters in Linear Programming," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 55(02), pages 1-8, August.
    • Handle: RePEc:ags:remaae:12351
    DOI: 10.22004/ag.econ.12351
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    File URL: https://ageconsearch.umn.edu/record/12351/files/55020147.pdf
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    References listed on IDEAS

    as
    1. Fare, Rolf & Knox Lovell, C. A., 1978. "Measuring the technical efficiency of production," Journal of Economic Theory, Elsevier, vol. 19(1), pages 150-162, October.
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    Cited by:

    1. Lars Jonasson, 1997. "A Policy Oriented Multi‐Input And Multi‐Output Measure Of Overall Efficiency And Its Decomposition," Journal of Agricultural Economics, Wiley Blackwell, vol. 48(1‐3), pages 52-64, January.
    2. Drynan, Ross G., 1987. "A Generalised Concept of Dominance in Linear Programming Models," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 55(02), pages 1-7, August.

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