Revenue Malmquist Index Analysis Based On Directional Technology Distance Function And Utility Function

Since Caves etc present Malmquist index in order to analysing Total Factor Productivity in 1982, nonpapametric Malmquist productivity index attracted more attention. With research work of developing the sources of TFP have enjoyed a great deal of interest among researchers. So a series of models have been proposed. Also a lot of demonstration analyses were applied to models, the illustrations provided some cases. The traditional Malmquist index models are based on input or output distance function proposed by Shephard. In which models either input or output change decision making unit approaching production frontier by a radial direction, so the two limitations result in unprecise measurement.Chambers, Chung and Fare presented directional technology distance function method in 1996 and 1998. The method combines input function with output function, considers input and output changing at the same time and decision making unit approaching production frontier with a nonradial way.But because of the affects of many uncertain factors, the direction of decision making unit approaching production frontier can't be given in advance. But those method can't work out under this situation, at the same time, the traditional Malmquist index models are based on cost and input, but now the supply of products is beyond the demand, so it is more and more important analyzing Malmquist index models are based on revenue.