Title

Measuring the efficiency of airports in China with the DEA and endogenous-weight TFP methods

Document Type

Journal article

Source Publication

International Journal of Transport Economics

Publication Date

2-1-2008

Volume

35

Issue

1

First Page

45

Last Page

73

Abstract

Despite the recent impressive growth of China’s civil aviation industry, the study of the efficiency of airports in China has been largely neglected. We studied the operational efficiency of 41 China airports, including international hubs, regional hubs, and regional airports by using the Data Envelopment Analysis (DEA) and the Endogenous- Weight Total Factor Productivity (EWTFP) methods. Our empirical results show that there is a statistically significant variation in operational efficiency among airports in China, and that most airports in China, and especially those that are relatively efficient, exhibit strongly increasing returns to scale. Accordingly, focusing investment on efficient airports alone may lead to a significant widening up of the efficiency gap between airports in China. The Civil Aviation Administration of China (CAAC) may therefore need to devise a policy not only to improve the operational efficiency of major airports, but also to maintain a balanced development of regional airports across the country.

Print ISSN

03035247

E-ISSN

17242185

Publisher Statement

Copyright © 2008 Accademia Editoriale

Access to external full text or publisher's version may require subscription.

Full-text Version

Publisher’s Version

Recommended Citation

Fung, M. K. Y., Chow, C. K. W., Hui, Y. V., & Law, J. S. (2008). Measuring the efficiency of ariports in China with the DEA and endogenous-weight TFP methods. International Journal of Transport Economics, 35(1), 45-73.