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Measurement of the Economic Efficiency of Central‐Fabrication‐versus Carcass‐Meat‐Handling Systems
Author(s) -
O'Connor C. W.,
Hammonds T. M.
Publication year - 1975
Publication title -
american journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.949
H-Index - 111
eISSN - 1467-8276
pISSN - 0002-9092
DOI - 10.2307/1238885
Subject(s) - profit (economics) , economic efficiency , unit price , fabrication , sample (material) , econometrics , business , agricultural economics , economics , industrial organization , agricultural science , microeconomics , environmental science , chemistry , medicine , alternative medicine , pathology , chromatography
Abstract Relative economic efficiency is measured for a selected sample of retail meat departments using the UOP (unit output price) profit model developed by Lau and Yotopoulos. The analysis suggests that central fabrication is currently more efficient for some, but not all, independent retail meat departments. The analysis also suggests that the relatively new UOP profit model is superior to the more traditional Farrell linear programming technique for evaluating relative efficiency.