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2015•Journal of Transport Economics and PolicyRequires access

Measuring the Cost Efficiency of Urban Rail Systems An International Comparison Using DEA and Tobit Models

Chih Wei Tsai, Corinne Mulley, Rico Merkert

Open publisher page 34 citations

Abstract

Understanding factors driving the operational efficiency of urban rail systems and providing an evaluation of relative efficiency internationally is the purpose of this paper. Two-stage DEA models explore determinants of technical, allocative, and cost efficiency in twenty international urban rail systems (2009–11). This identifies systems with superior overall efficiency (for example, Hong Kong), with others performing better in technical efficiency than allocative and cost efficiency (for example, Sydney). Diseconomies of scale are identified for some systems (for example, Sydney). The number of stations significantly influences technical efficiency, with the key determinant of allocative and cost efficiency being population density.

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What this paper is about

Understanding factors driving the operational efficiency of urban rail systems and providing an evaluation of relative efficiency internationally is the purpose of this paper. Two-stage DEA models explore determinants of technical, allocative, and cost efficiency in twenty international urban rail systems (2009–11). This identifies systems with superior overall efficiency (for example, Hong Kong), with others performing better in technical efficiency than allocative and cost efficiency (for example, Sydney). Diseconomies of scale are identified for some systems (for example, Sydney). The number of stations significantly influences technical efficiency, with the key determinant of allocative and cost efficiency being population density.

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OpenAlex reports 34 citations for this work. Citation counts describe recorded attention and do not establish research quality.

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Available abstract

Understanding factors driving the operational efficiency of urban rail systems and providing an evaluation of relative efficiency internationally is the purpose of this paper. Two-stage DEA models explore determinants of technical, allocative, and cost efficiency in twenty international urban rail systems (2009–11). This identifies systems with superior overall efficiency (for example, Hong Kong), with others performing better in technical efficiency than allocative and cost efficiency (for example, Sydney). Diseconomies of scale are identified for some systems (for example, Sydney). The number of stations significantly influences technical efficiency, with the key determinant of allocative and cost efficiency being population density.

Key concepts: Allocative efficiency, Diseconomies of scale, Tobit model, Data envelopment analysis, Economics, Cost efficiency, Environmental economics, Microeconomics

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