English, Article, Journal or magazine article edition: Practical Aspects of Value Efficiency Analysis. P. Korhonen; A. Siljamaeki; M. Soismaa

User activity

Share to:
 
Bookmark: http://trove.nla.gov.au/version/138635
Physical Description
  • preprint
Language
  • English

Edition details

Title
  • Practical Aspects of Value Efficiency Analysis.
Author
  • P. Korhonen
  • A. Siljamaeki
  • M. Soismaa
Physical Description
  • preprint
Notes
  • In this paper, we consider practical aspects for measuring Value Efficiency in Envelopment Analyis. Value efficiency is an efficiency concept that takes into account the decision maker's preferences.It was developed by Halme, Joro, Korhonen, Salo and Wallenius [1998]. The decision maker is asumed to compare alternatives using an implicitly known value function which reaches its maximum at the most preferred point on the efficient frontier. The unknown value function is assumed to be pseudoconcave and strictly increasing for outputs and strictly decreasing for inputs. The purpose of value effiiency analysis is to estimate a need to increase outputs and/​or decrease inputs for reaching the indifference contour of the value function at the optimum. Because the value function is unknown, the indifference contours cannot be defined precisely. Value efficiency analysis never results in more pessimistic evaluation than in the case of a known function. To carry out value efficiency analysis, we have to locate the most preferred solution of the decision maker. In practice, this phase cannot be too complicated. We propose a few alternative ways to locate it and discuss the use of those ways in practical application.
  • RePEc:wop:iasawp:ir98042
Language
  • English
Contributed by
OAIster

Get this edition

  • Set up My libraries

    How do I set up "My libraries"?

    In order to set up a list of libraries that you have access to, you must first login or sign up. Then set up a personal list of libraries from your profile page by clicking on your user name at the top right of any screen.

  • All (1)
  • Unknown (1)
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.

User activity


e.g. test cricket, Perth (WA), "Parkes, Henry"

Separate different tags with a comma. To include a comma in your tag, surround the tag with double quotes.

Be the first to add a tag for this edition

Be the first to add this to a list

Comments and reviews

What are comments? Add a comment

No user comments or reviews for this version

Add a comment