Multi-period additive efficiency measurement in data envelopment analysis with non-positive and undesirable data

Abstract

The conventional data envelopment analysis (DEA) models make an assumption of non-negativity in the inputs and outputs data of the decision making units (DMUs) under analysis. In this paper, we present a non-radial measure of efficiency of DMUs by establishing a multi-period additive DEA model taking into consideration both desirable and undesirable inputs and outputs with positive and non-positive values. The proposed efficiency model possesses the requisite features of translation invariance and unit independence, obligatory when dealing with negative values in the data set. Furthermore, this paper contributes with the proposal of a multi-period additive super-efficiency DEA model to discriminate the performance of efficient decision making units. Finally, we present an efficiency evaluation 37 countries worldwide on economic parameters to demonstrate the applicability and efficacy of the proposed models.