Title

Efficiencies and scope economies of Chinese airports in moving passengers and cargo

Document Type

Journal article

Source Publication

Journal of Air Transport Management

Publication Date

11-1-2009

Volume

15

Issue

6

First Page

324

Last Page

329

Keywords

Technical efficiency, Stochastic input distance function, Scope economies

Abstract

The paper looks at the technical efficiency of Chinese airports using multi-output stochastic input distance function analysis. This method provides a statistical test of scope economies to investigate the contribution of air cargo transport to airport efficiency. Our findings confirm the presence of scope economies in air passenger and air cargo transport among airports in China. We compare and contrast these results with results obtained from single-output stochastic production frontier analysis in which the effect of scope economies is not included. Our results indicate that the presence of scope economies significantly affects the estimation of technical efficiency, thus implying different efficiency rankings among airports in China.

DOI

10.1016/j.jairtraman.2009.05.002

Print ISSN

09696997

E-ISSN

18732089

Publisher Statement

Copyright © 2009 Elsevier Ltd

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Full-text Version

Publisher’s Version

Recommended Citation

Chow, K. W. C., & Fung, K. Y. M. (2009). Efficiencies and scope economies of Chinese airports in moving passengers and cargo. Journal of Air Transport Management, 15(6), 324-329. doi: 10.1016/j.jairtraman.2009.05.002