The Logic of a DEA Model Is to Determine Whether

question 42

Multiple Choice

The logic of a DEA model is to determine whether _________ facility can achieve the same or more output than ________ facility while requiring less input.​

• A)​an actual;another actual
• B)​an actual;any other actual
• C)​a hypothetical composite;an actual
• D)​an actual;a hypothetical composite

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Definitions:

Total Fixed Costs

The sum total of costs that are unaffected by changes in production levels or output.

Short-Run

A phase where production can be adjusted only by varying the amounts of variable inputs, with fixed inputs remaining constant.

Level of Output

The total quantity of goods or services produced by a company or economy at a given time.

Short Run

A time period in economics during which at least one input in the production process is fixed, affecting production capabilities.