Abstract
Intra-firm efficiency involves computing a particular firm's efficiency degree over time relative to the firm-specific production frontier. Inter-firm efficiency reveals a particular firm's performance over time relative to the ``best practice frontier'' among the set of comparable firms. These efficiency measures are related by an inter-firm catch-up component reflecting differences in technology across firms. Those measures are estimated for Dutch pot-plant firms using the Generalized Maximum Entropy formalism. The empirical results suggest the inter-firm catch-up component is the major determinant of inter-firm efficiency.
Original language | English |
---|---|
Pages (from-to) | 185-199 |
Journal | Journal of Productivity Analysis |
Volume | 15 |
DOIs | |
Publication status | Published - 2001 |
Keywords
- Generalized Maximum Entropy
- Inter-firm catch-up
- Inter-firm efficiency
- Intra-firm efficiency