This paper focuses on the effect of merger on university efficiency. In a first stage analysis, efficiency scores of English universities are derived for a 17-year period using the frontier estimation method data envelopment analysis. A second stage analysis explores the effect of merger and other factors on efficiency. We find that mean…

A multiproduct cost function is estimated for English higher education institutions using a panel of data from recent years. The panel approach allows estimation by means of a random parameter stochastic frontier model which provides considerable new insights in that it allows the impact on costs of inter-institutional differences in the cost…

The purpose of this paper is to examine the possibility of measuring efficiency in the context of higher education. The paper begins by exploring the advantages and drawbacks of the various methods for measuring efficiency in the higher education context. The ease with which data envelopment analysis (DEA) can handle multiple inputs and multiple…

Uses data-envelopment analysis to investigate UK university economics departments' technical efficiency as producers of research, highlighting the role of external funding. The data set is an extended version of that employed by the 1989 Universities Funding Council peer review. DEA contributes positively to developing meaningful indicators of…

This rejoinder to K. K. Fung's critique of the authors' data-envelopment analysis (DEA) article argues that eliminating inefficiency by competition requires perfect information, not just freedom of entry and exit. DEA provides the necessary information, but is not intended as a mechanism to replace peer review. (MLH)