Performance Assessment of UK Airports: Evidence from a Bayesian Dynamic Frontier Model

This paper analyzes the cost efficiency of UK airports over the period 1998–2008, using a Bayesian dynamic frontier model. This model provides a more structural explanation for the variation in airports’ inefficiency than has been presented by previous models, and also allows for cost inefficiency effects. On average, the dynamic frontier results, estimated via the Markov Chain Monte-Carlo simulation, indicate that UK airports improved their efficiency over time. Factors found to be important determinants of cost efficiency include airport size, price regulation, price cap variations and airport competition. Policy implications of the results are derived.

• Record URL:
  • http://www.sciencedirect.com/science/article/pii/S1366554511001372
• Availability:
  • Find a library where document is available. Order URL: http://worldcat.org/issn/13665545
• Supplemental Notes:
  • Abstract reprinted with permission from Elsevier
• Authors:
  • Assaf, A George
  • Gillen, David
  • Barros, Carlos
• Publication Date: 2012-5

Language

• English

Media Info

• Media Type: Web
• Features: References; Tables;
• Pagination: pp 603-615
• Serial:
  • Transportation Research Part E: Logistics and Transportation Review
  • Volume: 48
  • Issue Number: 3
  • Publisher: Elsevier
  • ISSN: 1366-5545
  • Serial URL: http://www.sciencedirect.com/science/journal/13665545

Subject/Index Terms

• TRT Terms: Airports; Economic efficiency; Mathematical models; Operating costs
• Uncontrolled Terms: Bayesian models; Cost inefficiency
• Geographic Terms: United Kingdom
• Subject Areas: Administration and Management; Aviation; Economics;

Filing Info

• Accession Number: 01368167
• Record Type: Publication
• Files: TRIS
• Created Date: Apr 23 2012 10:52AM