Environmental efficiency of port and regional system: A two-stage network efficiency model

Abstract

Ports have a strong driving effect on regional economic growth. In turn, the prosperity and development of the regional economy also provide the port with various resources and services that enhance its comprehensive strength. Therefore, the harmonious development of the port and region is particularly important. In this context, the efficiency evaluation of the port–region system (PRS) has practical significance. To evaluate the PRS, this study constructs a feasible target-setting two-stage network performance model, which has two main advantages, unlike those from previous studies. First, the proposed model considers the linkage between ports and regional systems. Second, the traditional meta-frontier has infeasible combinations of inputs and outputs, whereas the proposed model modifies the selection rule of the meta-frontier and can provide a feasible meta-frontier for inefficient PRSs. The empirical analysis yields the following valuable research findings. First, the proposed models can effectively overcome the underestimation of efficiency. Second, in China, provincial PRS performance has considerable potential for improvement in the P- or R-subsystem. Third, all PRSs need to enhance their management ability, and the seven PRSs also need to improve their technical level. Finally, this study presents suggestions for the corresponding performance improvement of inefficient PRS.