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Allocating additional resources to public universities. A DEA bargaining approach

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  • Contreras, I.
  • Lozano, S.

Abstract

This paper deals with the problem of allocating additional resources in a public university system. Instead of a solution imposed from above, the proposed bargaining approach lets the universities voluntarily agree on a solution that benefits them all. To be realistic the allocation assumes that the universities will keep their current technical efficiency. A bargaining problem is formulated, defining the corresponding feasible set and disagreement point. Four different bargaining solutions, namely Nash, Kalai-Smorodinsky, Egalitarian and Utilitarian, are considered and discussed. The proposed approach is applied to a real-world dataset involving the nine public universities of the Andalusian region. The results of the different bargaining solutions are very consistent as regards the output and utility improvements to be achieved by each university.

Suggested Citation

  • Contreras, I. & Lozano, S., 2020. "Allocating additional resources to public universities. A DEA bargaining approach," Socio-Economic Planning Sciences, Elsevier, vol. 71(C).
    • Handle: RePEc:eee:soceps:v:71:y:2020:i:c:s0038012119302009
    DOI: 10.1016/j.seps.2019.100752
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