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Multi‐Output Capacity Measures and Their Relevance for Productivity
Author(s) -
FÃÂÃÂÃÂÃÂÃÂÃÂÃÂÃÂre Rolf,
Grosskopf Shawna,
Kirkley Jim
Publication year - 2000
Publication title -
bulletin of economic research
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.227
H-Index - 29
eISSN - 1467-8586
pISSN - 0307-3378
DOI - 10.1111/1467-8586.00097
Subject(s) - productivity , dual (grammatical number) , economics , relevance (law) , capacity utilization , econometrics , duality (order theory) , measure (data warehouse) , microeconomics , mathematics , computer science , macroeconomics , political science , art , literature , discrete mathematics , database , law
In this paper, measures of capacity are developed following those suggested in 1968 by Leif Johansen. By taking advantage of Shephard’s duality, both primal and dual multi‐output measures of capacity can be derived. Having generalized the capacity utilization measures, the authors show how these may be entered into measures of productivity. In particular, it is shown how the Malmquist direct and indirect productivity measures are related to various measures of capacity utilization.