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On regular and parametric data envelopment analysis

Luka Neralic and Oliver Stein

Abstract. We give a generic regularity condition under which each weakly efficient decision making unit in the CCR model of data envelopment analysis is also CCR-efficient. Then we interpret the problem of finding maximal parameters which preserve efficiency of CCR-efficient DMUs under directional perturbations as a general semi-infinite optimization problem and use a recently suggested numerical method for this problem class to calculate maximal directionally efficient DMUs. As a practical example we investigate the efficiency of Croatian banks under additive perturbations.

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