FRONTIER STOCHASTIC MODEL: A MAJOR APPLICATION FOR MAGHREB REGION SEAPORT
Abstract
This paper aims to estimate a stochastic production frontier to measure the technical efficiency of twenty seaports in the Maghreb region (Tunisia, Algeria and Morocco). The technical efficiency is measured based on the estimation in time-varying. The use of the stochastic frontier model has set notable results. The results showed a minimal improvement in the scores efficiency over the 2008- 2012 period. The average value of the port technical efficiency is 0.766. The results conclude that infrastructure characteristics have a great role in the port efficiency. In addition, the multipurpose port is proven to be more efficient than specialized port.
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