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Extra resources for A Complete Refutation Of Astrology: Consisting Principally Of A Series Of Letters, Which Appeared In The Cheltenham Chronicle, In Reply To The Arguments Of Lieutenant Morrison And Others (1838)
The optimal weights for A are unique. Usually, the optimal weights for inefficient DMUs are unique, the exception being when the line of the DMU is parallel to one of the boundaries of the region P. 8 SUMMARY In this chapter, we introduced the CCR model, which is a basic DEA model. BASIC CCR MODEL 33 1. For each DMU, we formed the virtual input and output by (yet unknown) weights and Then we tried to determine the weight, using linear programming so as to maximize the ratio The optimal weights may (and generally will) vary from one DMU to another DMU.
In the next chapter, we will approach the CCR model from the dual side of the linear program and this will enable us to determine the excesses and shortfalls explicitly by the nonzero values with which these are identified. A DMU such as F, with and with an excess in inputs and/or a shortage in outputs, is called ratio efficient but mix inefficient. 2 depicts the efficient frontier. 2 in the weight variables (=multiplier) space. 2 has 2 inputs and 1 output, whose value is unitized to 1. For this simple example we can illustrate the situations using a two dimensional graph.
We can envelop all the data points within the region enclosed by the frontier line, the horizontal line passing through C and the vertical line through E. We call this region the production possibility set. ) This means that the observed points are assumed to provide (empirical) evidence that production is possible at the rates specified by the coordinates of any point in this region. The efficiency of stores not on the frontier line can be measured by referring to the frontier point as follows.