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Open AccessArticle

Operational Efficiency of Mexican Water Utilities: Results of a Double-Bootstrap Data Envelopment Analysis

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Marketing and Management Department, University of Texas at El Paso, 500 W. University Avenue, El Paso, TX 79968, USA
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TecNM/ITS de Uruapan, Tecnologico Nacional de Mexico Carr. Uruapan-Carapan 5555, Uruapan, Michoacan 60015, Mexico
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Facultad de Ingeniería, Universidad Panamericana, Alvaro del Portillo 49, Zapopan Jalisco 45010, Mexico
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Escuela de Ciencias Economicas y Empresariales, Universidad Panamericana, Alvaro del Portillo 49, Zapopan Jalisco 45010, Mexico
*
Author to whom correspondence should be addressed.
Water 2020, 12(2), 553; https://doi.org/10.3390/w12020553
Received: 19 December 2019 / Revised: 31 January 2020 / Accepted: 12 February 2020 / Published: 16 February 2020
(This article belongs to the Section Urban Water Management)
The objective of this paper is to estimate the operational efficiency of Mexican water utilities and identify the context variables that impact their efficiency. In particular, a bootstrap data envelopment analysis (DEA) and a bootstrap truncated regression analysis are combined in a two-stage research method. In the first stage, an input-oriented DEA model is used to determine bootstrap efficiency scores. Then, the corrected distribution function of the efficiency scores is used to estimate a truncated regression which is aimed to identify the significant influential context variables. Three categorical and two continuous context variables are considered in the analysis. Results show that only one context variable has a significant impact on the water utilities efficiency scores. Managerial recommendations are drawn from the analysis. It is suggested that water utilities continue or implement wastewater treatment, persist in decreasing and controlling leakage across the distribution network, and maximizing sewer coverage. View Full-Text
Keywords: water utilities; water management; data envelopment analysis; bootstrap data envelopment analysis; double-bootstrap approach water utilities; water management; data envelopment analysis; bootstrap data envelopment analysis; double-bootstrap approach
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MDPI and ACS Style

Ablanedo-Rosas, J.H.; Guerrero Campanur, A.; Olivares-Benitez, E.; Sánchez-García, J.Y.; Nuñez-Ríos, J.E. Operational Efficiency of Mexican Water Utilities: Results of a Double-Bootstrap Data Envelopment Analysis. Water 2020, 12, 553.

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