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TECHNICAL EFFICIENCY AND HUMAN CAPITAL IN EUROPE
Abstract
Human capital have been paid close attention in the productivity studies for a long time by macroeconomists. At the corporate level, the focus of efficiency analyses has been always placed on resource utilization. In the paper, the aim is to investigate how can be human capital incorporated into non-parametrical frontier analysis. The slack-based input-oriented efficiency measure allows to identify sources of inefficiency caused by excess use of inputs. The first two sections deal theoretically with efficiency and human capital measurement, Section 3 describes models and data used, Section 4 presents main results and the closing section concludes. The results may be methodologically useful for decision-making sphere.
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