Relation Between DEA And Measure Of Technical Efficiency And Application In Economical System Model

Data Envelopment Analysis is an intersectional field of operation research, management science and mathematical economics. DEA depends on mathematical programming to evaluate the relative efficiency of DMUs with multiple inputs and multiple outputs. In this paper, the development of DEA theories, DEA methods and DEA applications are discussed. The basic DEA models, DEA efficiency theories are analyzed.The traditional Russell measure of technical efficiency is widely used in measuring productive efficiency for its feature of non-radial. But the difficulties in computing result from model's non-radial feature on the other hand. Based on the mathematical programming theories, the equivalence relation is proved between DEA efficiency and Russell technical efficiency in this paper. A new and easier computing method is provided. The method is help to solve the computing difficulties of Russell measure of technology efficiency.Additionally, the application is investigated about DEA and measure of technical efficiency in economic system model and parameter evaluation. The definitions of productivity Index is provided depending on different technology. In the meantime, we proved that the input-based productivity index relative to a constant returns to scale technology equals the reciprocal of the output-based productivity index relative to the same technology.