ECON377 Efficiency and Productivity Analysis

Updated: 01 December 2009

Credit Points	6
Offering	Not offered in 2010
Intensive School(s)	None
Supervised Exam	There is a UNE Supervised Examination held at the end of the teaching period in which you are enrolled.
Pre-requisites	ECON101 or QM161
Co-requisites	None
Restrictions	ECON477
Notes	None
Combined Units	ECON477 - Efficiency and Productivity Analysis
Coordinator(s)	Renato Villano (rvillan2@une.edu.au)
Unit Description	This unit is designed to provide students with the skills required to measure performance in complex multi-input, multi-output firms and organisations. The main empirical methods used will be index numbers, stochastic frontier analysis, distance functions and data envelopment analysis. A variety of case studies will be analysed, including electricity supply, railways, hospitals, banks and agriculture. Students will learn how to measure and decompose productivity differences into various components, including technical efficiency, allocative efficiency, scale efficiency and technological change.
Prescribed Material Mandatory	Text(s): Note: Students are expected to purchase prescribed material An Introduction to Efficiency and Productivity Analysis ISBN: 9780387242668 Coelli, T.J., Rao, P.S., O'Donnell, C.J. and Battese, G.E., Springer 2nd ed. 2005 Text refers to: Semester 2 , On and Off Campus
Disclaimer	Unit information may be subject to change prior to commencement of the teaching period.

Assessment

Title	Exam Length	Weight
Assignment 1		15%
Assessment Notes
Word length is not applicable owing to the statistical nature of the questions.

Relates to Learning Outcomes (LO) and Graduate Attributes (GA)
LO: 1-5 GA: 1-3,4, 6
Assignment 2		15%
Assessment Notes
Word length is not applicable owing to the statistical nature of the questions.

Relates to Learning Outcomes (LO) and Graduate Attributes (GA)
LO: 1, 2, 4, 5 GA:1-3, 4, 6, 7
Assignment 3		15%
Assessment Notes
Word length is not applicable owing to the statistical nature of the questions.

Relates to Learning Outcomes (LO) and Graduate Attributes (GA)
LO:1, 2,, 4, 5 GA: 1-3, 4, 6, 7

Final Examination	2 hrs	55%
Relates to Learning Outcomes (LO) and Graduate Attributes (GA)
LO: 1-5 GA: 1-3, 4, 6, 7

Learning Outcomes (LO)

Upon completion of this unit, students will be able to:

demonstrate an understanding of the concepts of technical efficiency, allocative efficiency, scale efficiency, and total factor productivity;
measure technical efficiency, allocative efficiency, scale efficiency, and total factor productivity, given access to suitable data;
apply and interpret the three principal performance measurement methods: index numbers, stochastic frontier analysis, and data envelopment analysis;
critically assess an empirical analysis of performance;
appreciate the ways in which these methods can be used to address management and policy issues.

Graduate Attributes (GA)

	Attribute	Taught	Assessed	Practised
1	Knowledge of a Discipline
2	Communication Skills Students will be required to read and write in this unit.
3	Global Perspectives Students will be analysing empirical studies from around the world.
4	Information Literacy Computer software will be used extensively.
5	Life-Long Learning
6	Problem Solving Students must be able to critically appraise past empirical studies, and also know how to conduct their own.
7	Social Responsibility A balanced pursuit of efficiency and equity will be discussed in policy applications.
8	Team Work

Course and Unit Catalogue 2010