Measuring DEA efficiency in cable television network facilities: What are appropriate criteria for determining the amounts of governmental subsidies?

Toshiya Jitsuzumi, Akihiro Nakamura

Research output: Contribution to journalArticlepeer-review

4 Citations (Scopus)

Abstract

Recent technological developments have transformed the cable television industry (CATV) from a simple re-transmitter of terrestrial broadcasting to a provider of a broader-band information infrastructure. With cable operators facing an undesirable market situation while operating a fiber optics network vital to the creation of an information-based society within Japan, the Japanese Government has introduced several supportive measures for the industry. Such governmental intervention should desirably be justified not only from a political viewpoint but also from an economic one; otherwise such measures may distort economic efficiency. In this article, using Data Envelopment Analysis (DEA), the authors identify the deficiencies of an accounting-based intervention scheme and propose an alternative framework with no disincentive side effects.

Original languageEnglish
Pages (from-to)29-43
Number of pages15
JournalSocio-Economic Planning Sciences
Volume37
Issue number1
DOIs
Publication statusPublished - Mar 1 2003

All Science Journal Classification (ASJC) codes

  • Geography, Planning and Development
  • Economics and Econometrics
  • Strategy and Management
  • Statistics, Probability and Uncertainty
  • Management Science and Operations Research

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