Incorporating Undesirable Outputs into Malmquist TFP Index: Environmental Performance Growth of Chinese Coal-Fired Power Plants
نویسندگان
چکیده
In this article we examine the effects of undesirable outputs on the Malmquist TFP indices. Our empirical work uses an unbalanced panel which covers 796 utility and non-utility coal-fired power plants in China during 1996-2002. In order to meet the requirement of a balanced panel for calculating the Malmquist indices, an innovative fake unit approach has been introduced. Our final results show that (1) the growth of the Chinese electricity heavily depends upon an increase of resource input; and (2) huge potential remains with regards to the efficiency improvement and emissions control in Chinese coal-fired power plants.
منابع مشابه
Incorporating both undesirable outputs and uncontrollable variables into DEA: The performance of Chinese coal-fired power plants
There are two difficulties in doing an objective evaluation of the performance of decision-making units (DMUs). The first one is how to treat undesirable outputs jointly produced with the desirable outputs, and the second one is how to treat uncontrollable variables, which often capture the impact of the operating environment. Given difficulties in both model construction and data availability,...
متن کاملDistinguishing Weak and Strong Disposability among Undesirable Outputs in DEA: The Example of the Environmental Efficiency of Chinese Coal-Fired Power Plants
Different from traditional efficiency research and previous studies considering undesirable outputs, this paper proposes models which distinguish weak and strong disposability features among various undesirable outputs based on the technical nature of the undesirable outputs. The paper illustrates the approach using a research sample covering 582 base-load Chinese coal-fired power plants in 200...
متن کاملA new slacks-based measure of Malmquist–Luenberger index in the presence of undesirable outputs
In the majority of production processes, noticeable amounts of bad byproducts or bad outputs are produced. The negative effects of the bad outputs on efficiency cannot be handled by the standard Malmquist index to measure productivity change over time. Toward this end, the Malmquist–Luenberger index (MLI) has been introduced, when undesirable outputs are present. In this paper, we introduce a D...
متن کاملGreen Productivity in Iran's Thermal Power Plants: The Malmquist-Luenberger Approach
Electricity generation in thermal power plants as the largest producer of electricity in Iran is associated with greenhouse gas emissions. In this paper, using the Malmquist-Luenberger method, green productivity, and efficiency changes are measured for 31 thermal power plants (including 12 steam power plants, 13 gas power plants, and six combined cycle power plants) during 2009-2016. The result...
متن کاملAn Empirical Analysis of TFP Gains in the Agricultural Crop- Sub-Sector of NWFP Using Malmquist Index Approach
This paper investigates the total factor productivity (TFP) performance of NWFP agriculture crop subsector from 1970 to 2004. It identifies the sources of growth of TFP growth and assesses TFP growth changes in agriculture crop sub-sector. Data envelopment analysis (DEA) approach is used to estimate the changes in the production frontier. The Malmquist productivity index has decomposed total fa...
متن کامل