ANALYZING THE TECHNICAL EFFICIENCY USING  DATA ENVELOPMENT ANALYSIS METHOD: THE  CASE OF GULF COOPERATION COUNCIL  COUNTRIES

Ala’ BASHAYREH; Samer A. ABDELHADI; Mohammad W. ALOMARI

Financial Studies (Sep 2021)

ANALYZING THE TECHNICAL EFFICIENCY USING DATA ENVELOPMENT ANALYSIS METHOD: THE CASE OF GULF COOPERATION COUNCIL COUNTRIES

Ala’ BASHAYREH,
Samer A. ABDELHADI,
Mohammad W. ALOMARI

Affiliations

Ala’ BASHAYREH: Faculty of Economics and Administrative Sciences, The Hashemite University, Zarqa, Jordan
Samer A. ABDELHADI: Department of Economics, Faculty of Economic and Administration Sciences, Hashemite University, Zarqa, Jordan
Mohammad W. ALOMARI: Faculty of Economics and Administrative Sciences, The Hashemite University, Zarqa, Jordan

Journal volume & issue: Vol. 25, no. 3
pp. 44 – 55

Abstract

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Given the importance of technical efficiency for production process, the current study is measuring the technical efficiency in the Gulf Cooperation Council countries over the period 2009-2016. For this purpose, the study will employ the nonparametric model uses the linear programming by Data Envelopment Analysis (DEA) to calculate technical efficiency. Results revealed that Kuwait is operating by optimal size production in both frontiers, constant returns to scale (CRS), and variable returns to scale (VRS) and so it is considered as the benchmark for the rest of the Gulf Cooperation Council countries. On the other hand, the results showed that Bahrain, UAE, Oman and KSA do not operate within optimal size, which restrain them to perform the overall technical efficiency and scale efficiency.

Published in Financial Studies

ISSN: 2066-6071 (Online)
Publisher: “Victor Slăvescu” Centre for Financial and Monetary Research
Country of publisher: Romania
LCC subjects: Social Sciences: Finance
Website: http://fs.icfm.ro/

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