Tag Archive | "Cost inefficiency"

Stochastic Cost Inefficiency Estimates and Rankings of Public and Private Research and Doctoral Granting Universities

Stochastic frontier cost and inefficiency estimates are provided for research and doctoral granting universities in the U.S. Separate sector estimates are produced for public and private non-profit universities. Panel data spanning four academic years, 2005-2009, is used to estimate underlying cost structures. Inefficiency is modeled as depending on institutionally specific environmental factors. Results indicate that public universities are on average more efficient than their private counterparts. The latter exhibit greater variability and when evaluated at the median inefficiencies there does not appear to be any statistically significant difference. Time varying inefficiency estimates point to public sector efficiency gains but private sector increasing inefficiencies. Interestingly, results indicate that increases in faculty tenure lead to efficiency improvements. Inefficiency rankings place private ivies among the most inefficient universities whereas public flagships are distributed throughout their sector rankings.

  Stochastic Cost Inefficiency Estimates and Rankings of Public and Private Research and Doctoral Granting Universities (297.0 KiB, 1,447 hits)

Posted in Economics, Volume II, Issue no. 3

Is The Production of Religious Knowledge Efficient? Managing Faith Related Postsecondary Institutions

The focus of this paper is on the efficiency of producing and managing religion based knowledge in postsecondary institutions. Panel data is used to estimate a stochastic cost frontier and associated inefficiencies for a panel of 222 U.S. bible colleges, theological seminaries, and other faith based higher education institutions over the 2005-09 academic years. Results indicate that institutions offering undergraduate only education are on average less inefficient than graduate only or combined undergraduate-graduate education institutions. Government provided student loans and private philanthropy are efficiency improving, while institutional debt acts to increase inefficiency. Time varying inefficiencies show efficiency gains over the last two of the four academic years. However, additional observations will be required to determine whether that is a managerial reaction to the global financial crisis and if it is sustainable in future academic years.

  Is The Production of Religious Knowledge Efficient? Managing Faith Related Postsecondary Institutions (733.4 KiB, 1,957 hits)

Posted in Knowledge Management, Volume II, Issue no. 1