Please use this identifier to cite or link to this item:

Estimation of X-inefficiency : Korea and Taiwan

File Description SizeFormat 
uhm_phd_9312187_uh.pdfVersion for UH users2.64 MBAdobe PDFView/Open
uhm_phd_9312187_r.pdfVersion for non-UH users. Copying/Printing is not permitted2.67 MBAdobe PDFView/Open

Item Summary

Title: Estimation of X-inefficiency : Korea and Taiwan
Authors: Chung, Woo-Taik
Issue Date: 1992
Abstract: This study applies the X-inefficiency theory to analyze different characteristics of the industrial structure between Korea and Taiwan, which have achieved rapid economic growth and export expansion during the past three decades. Using the parameters of the estimated CES production function by the Arrow, Chenery, Minhas and Solow method and the Diwan method, X-inefficiency is measured by the actual input costs deviating from their cost-minimizing values. The results show that Taiwan is more capital-intensive and has a higher X-inefficiency rate in the average value of the total manufacturing sector than Korea. Since the lack of competition is the main theoretical determinant of X-inefficiency, the competitive environment hypothesis--i.e., the industry in a less competitive environment has more X-inefficiency--is proposed and tested in this study. We use X-inefficiency estimates as a dependent variable. The concentration ratio and a measure of capital-intensity are used as regressors for market competition, and the degree of foreign dependency and tariff level are used for international competition. Our empirical results from Korea and Taiwan generally support the competitive hypothesis. In conclusion, the x-inefficiency theory is applicable in both the Korean and Taiwanese economies through the estimation of the production function or a test of hypothesis by the degree of competition.
Description: Thesis (Ph. D.)--University of Hawaii at Manoa, 1992.
Includes bibliographical references (leaves 96-101).
x, 101 leaves, bound ill. 29 cm
Rights: All UHM dissertations and theses are protected by copyright. They may be viewed from this source for any purpose, but reproduction or distribution in any format is prohibited without written permission from the copyright owner.
Appears in Collections:Ph.D. - Economics

Please contact if you need this content in an ADA compliant alternative format.

Items in ScholarSpace are protected by copyright, with all rights reserved, unless otherwise indicated.