The Review of Efficiency in Tourism Industry By Using Non-Parametric Methods(Iran and other Region Countries)

Abstract

In economic literature, the maximum of output to a given amount of input, is efficiency and vise-versa. In general, there are two main parametric and non- parametric, approaches for measuring efficiency. In this paper, we have used method of non-parametric approach based on mathematical programming. Data envelopment analysis (DEA), a non-parametric method is used in this study for evaluation of Iran's tourism industry and comparison with other countries of the region. The most important feature of the DEA is its applicability for the firms that have multiple intput and outputs. Using DEA, we study the efficiency of Iran's tourism industry and compare it with other countries of the region in 2003, assuming both constant and variable return to scale. The results of our study show that, subject to former assumption, efficiency in Bahrain, Turkey, Syria are maximum and the average efficiency is equal to %74, which means that the idle capacity is 26 percent in that year. On the other hand, with the later assumption, United Arab Emirates and Azerbaijan were added to the list too, and average efficiency is equal %83/3. So, it is suggested that for increasing the efficiency of unefficient countries, on the basis of our founding, these countries have to follow the Model of Turkey's Tourism Industry as an efficient Model.