Technical efficiency and export performance: evidence for self-selection hypothesis from Indonesian manufacturing sector-level data
by Putu Mahardika Adi Saputra
International Journal of Economic Policy in Emerging Economies (IJEPEE), Vol. 7, No. 4, 2014

Abstract: This paper examines the technical efficiency of Indonesian manufacturing industry by estimating a stochastic production frontier and the constant returns to scale output-oriented data envelopment analysis approach. Using fixed effect model, this paper also analyses the determinants of export performance of the industry. The results show that comparing the scores obtained by stochastic production frontier and data envelopment analysis, there are six relatively prominent industries in terms of efficiency achievement, namely iron and steel, tobacco, transport equipment, food products, industrial chemicals, and machinery, (electric). Utilising fixed effect model, we find that all export determinants show the appropriate significant signs and this paper provides evidence for the presence of self-selection hypothesis.

Online publication date: Mon, 29-Dec-2014

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Economic Policy in Emerging Economies (IJEPEE):
Login with your Inderscience username and password:

    Username:        Password:         

Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email