Nickolaos G. Tzeremes

A conditional directional distance function approach for measuring regional environmental efficiency: Evidence from UK regions

This paper, by using conditional directional distance functions as introduced by Simar and Vanhems [J. Econometrics 166 (2012) 342-354] modifies the model by Fare and Grosskopf [Eur. J. Operat. Res. 157 (2004) 242-245], examines the link between regional environmental efficiency and economic growth. The proposed model using conditional directional distance functions incorporates the effect of regional economic growth on regions’ environmental efficiency levels. The results from the UK regional data reveal that economic growth has a negative effect on regions’ environmental performance up to a certain GDP per capita level, where after that point the effect becomes positive. This indicates the existence of a Kuznets type relationship between the UK regions’ environmental performance and economic growth.

Efficiency dynamics in Indian banking: A conditional directional distance approach

The paper contributes to the contemporary research on bank efficiency in India. We analyze the efficiency dynamics of the Indian banking industry from 2004 to 2012. Based on the recent methodological developments of the conditional and unconditional directional distances introduced by Daraio and Simar (2014), we apply a conditional directional distance estimator in order to analyze the dynamic effects of industry’s performance levels. The results indicate that foreign banks perform better compared to national and domestic private banks. There is also evidence of technological change at the period before the Global Financial Crisis. However during and after the Global Financial Crisis these gains diminished. The evidence suggests that national banks fail to sustain their high performance levels gained after the industry’s restructuring period. Finally, the findings support the view that ownership structure affects banks’ technical efficiency levels.

Measuring economic journals' citation efficiency: a data envelopment analysis approach

This paper by using data envelopment analysis (DEA) and statistical inference evaluates the citation performance of 229 economic journals. The paper categorizes the journals into four main categories (A–D) based on their efficiency levels. The results are then compared to the 27 “core economic journals” as introduced by Diamond (Curr Contents 21(1):4–11, 1989). The results reveal that after more than 20 years Diamonds’ list of “core economic journals” is still valid. Finally, for the first time the paper uses data from four well-known databases (SSCI, Scopus, RePEc, Econlit) and two quality ranking reports (Kiel Institute internals ranking and ABS quality ranking report) in a DEA setting and in order to derive the ranking of 229 economic journals. The ten economic journals with the highest citation performance are Journal of Political Economy, Econometrica, Quarterly Journal of Economics, Journal of Financial Economics, Journal of Economic Literature, American Economic Review, Review of Economic Studies, Journal of Econometrics, Journal of Finance, Brookings Papers on Economic Activity.

Electricity Generation and Economic Efficiency: Panel Data Evidence from World and East Asian Countries

Abstract This paper investigates the effect of electricity generation on countries’ economic efficiency. By using a sample of 42 World and East Asian countries for the time period 1996–2006 the paper employs Data Envelopment Analysis (DEA) window analysis and econometric panel techniques. The results reveal that there is an inverted U-shape relationship between electricity generation and countries’ economic efficiency. Finally, the turning point for the European countries is much smaller compared to the one of East Asian countries indicating that the European countries shift in energy use from electricity to other sources of energy. In addition the electricity generation–economic efficiency relationship depends also on the structure of the economy.

International Competitiveness in the ICT Industry: Evaluating the Performance of the Top 50 Companies

Abstract Given the importance of global competition in the information and communication technology (ICT) industry and its contribution to national economies, this paper examines the competitive structure of the global ICT market. By examining the effect of global strategies of the top 50 ICT multinationals, benchmarks, performances and key characteristics of multinational strategic behaviour in the ICT industry is established. The results indicate that there is higher rivalry among the competitors in communication and electronics/equipment segments. Additionally, the most efficient global strategies are adopted from the US and Japanese multinationals imposing a “policy gap” on corporate governance between US, Japan and the European countries.

Trade efficiency and economic development: evidence from a cross country comparison

Economic theory suggests that development is enhanced through income growth, which is driven through increased trade. However, the empirical evidence of such a relationship most of the times is proved to be weak. In this study we try to determine the factors influencing this relationship by measuring ‘trade efficiency’. Using the data envelopment analysis (DEA) window method for a sample of 16 OECD countries, we obtained the efficiency scores and the optimal output levels for the inefficient countries for a time period of 5 years under consideration. Results drawn from the broadly used ratio analysis were also compared to the results derived from the DEA model. Our empirical findings show that ‘trade efficient’ countries have clear characteristics like low-exchange rates for exports, low R&D intensity, high-value intra industry trade and positive impact of net trade on their gross domestic product.

CEO compensation and bank efficiency: An application of conditional nonparametric frontiers

The paper investigates in a dynamic context the effect of Chief Executive Officer (CEO) bonus and salary payments on banks’ technical efficiency levels. Our methodological framework incorporates the latest developments on the probabilistic approach of efficiency measurement as introduced by Bădin et al. (2012). We apply time-dependent conditional efficiency estimates to analyse a sample of 37 US banks for the period from 2003 to 2012. The empirical evidence reveals a non-linear relationship between CEO bonus and salary payments and banks’ efficiency levels. More specifically it is reported that salary and bonus payments affect differently banks’ technological change and technological catch-up levels. Finally, the empirical evidence suggests that higher salary and bonus payments are not always aligned with higher technical efficiency levels.

Weight Assurance Region in Two-Stage Additive Efficiency Decomposition DEA Model: An Application to School Data

In this paper we use the additive efficiency decomposition approach in two-stage data envelopment analysis. Initially, we evaluate the variable returns to scale version and face a structural difficulty of the model. In an extreme case, weights ξ1 or ξ2, which represent the relative importance of the performance of the first and second stages, respectively, become zero for a number of decision making units (DMUs). As a result, individual stage efficiencies for these DMUs are undefined. We propose a weight assurance region model to restrict ξ1 and ξ2, which ensures that both weights are always positive, and therefore individual stage efficiency is always defined. Furthermore, the proposed model is appropriate for policy making in the presence of a priori information about the relative importance of each stage in the overall process. We employ the new model to evaluate the efficiency of secondary education in 65 countries and construct an overall ‘school efficiency’ index. In the first stage we measure the ‘learning environment efficiency’ and in the second we measure the ‘student’s performance efficiency’.

Does the Home Country's National Culture Affect MNCs’ Performance? Empirical Evidence of the World's Top 100 East–West Non-financial MNCs

Abstract The question of why some multinational corporations (MNCs) perform better than others is at the centre of the analysis of many international business disciplines and the subject of a never-ending debate of policy-makers. The dilemma of whether the MNCs organizational culture differs from home countries’ national culture is the subject of our research. We provide empirical evidence that MNCs’ national cultures shape and dominate MNCs’ organizational cultures with a direct impact on their performances. For the first time by using performance measurement techniques and reconstructing cultural distance indexes, we are providing empirical evidence of the impact of home countrys national culture on MNCs’ performance.

Regional sustainability efficiency index in Europe: an additive two-stage DEA approach

In this paper we apply a relational additive two-stage data envelopment analysis model in order to create sustainability efficiency indices for European regions. The sustainability efficiency indices are decomposed into production efficiency and eco-efficiency indicators in the first and the second stage respectively. The production efficiency is defined as the ratio of the financial output over the inputs and the eco-efficiency is defined as the ratio of the bad output over the financial output which serves as an intermediate variable. We treat the heterogeneity among countries using a metafrontier framework. The results reveal inequalities among the examined regions for the eco-efficiency stage.