Distinguishing Congestion and Technical Inefficiency in Presence Undesirable Output

Abstract

Problem statement: This study focuses on problems of congestion and how they might be treated in universities, also investigates a methodology to measure undesirable outputs congestion in addition to inputs congestion, from both theoretical and empirical perspectives. Congestion indicates an economic state where inputs are overly invested. Evidence of congestion occurs whenever reducing some inputs can increase outputs. Approach: The main thrust of this study is to measure congestion in undesirable outputs and inputs by using Data Envelopment Analysis (DEA), by a proposed linear model. Results: We using a data set of university and jointly evaluate desirable university output (e.g., graduate) and the simultaneous undesirable output (e.g., dropout) that occurs. Conclusion: The results show that inefficiency is associated with congestion in the study departments of University; particular congestion in undesirable output has most correlation with the efficiency.