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A double-frontier approach for measuring market imperfection

This paper proposes a new methodology for evaluating the market imperfection and the bargaining power of each agent acting on a given market. The new methodology is an extension of DEA to the two frontiers case with respect to a privileged direction. A particular attention is paid to the treatment o...

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Bibliographic Details
Published in:Annals of operations research 2010-01, Vol.173 (1), p.137-144
Main Authors: Mouchart, Michel, Vandresse, Marie
Format: Article
Language:English
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Summary:This paper proposes a new methodology for evaluating the market imperfection and the bargaining power of each agent acting on a given market. The new methodology is an extension of DEA to the two frontiers case with respect to a privileged direction. A particular attention is paid to the treatment of bidirectional free disposability. This model is motivated by the analysis of survey data consisting of a set of contracts described in the space of price and attributes.
ISSN:0254-5330
1572-9338
DOI:10.1007/s10479-008-0499-7