Hi Ruth:

William Greene at NYU is one of the leading experts on this topic. You 
might want to consult the notes and readings in his course:

Stochastic Frontier and Efficiency Estimation 2013  - 
http://people.stern.nyu.edu/wgreene/FrontierModels2013.htm

Good luck!

Fernando


On 8/10/2017 7:54 AM, Ruth Carlitz wrote:
> Dear all:
>
> I'm working on a paper based on one of my dissertation chapters, which
> compares and attempts to account for variation across districts in terms of
> efficiency of spending on water infrastructure. I am interested in
> extending the analysis I have undertaken so far to bring it more into line
> with the (economics) literature on local government efficiency. I have
> reviewed a number of studies of local government efficiency and the
> standard approach seems to be using non-parametric methods – either some
> variant of data envelope analysis (DEA) or free disposal hull (FDH). Both
> of these methods appear to be fairly easy to implement in Stata, but before
> I charge ahead, I would love to get feedback from someone with more
> familiarity with these methods regarding my interpretation of them, and how
> I might incorporate cost estimates into the analysis.
>
> Thank you very much!
>
> Kind regards,
> Ruth Carlitz
>

-- 
*Fernando Martel García, Ph.D.*
LinkedIn <https://www.linkedin.com/in/fernandomartelgarcia/>

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