Ai. Ali et Lm. Seiford, COMPUTATIONAL ACCURACY AND INFINITESIMALS IN DATA ENVELOPMENT ANALYSIS, INFOR. Information systems and operational research, 31(4), 1993, pp. 290-297
The role of the non-Archimedean construct epsilon in the CCR and BCC m
odels is clarified. It is established that the associated dual linear
programs can be infeasible (for the multiplier side) and unbounded (fo
r the associated dual envelopment side program). Sufficient conditions
are established for feasibility and boundedness. Computational testin
g indicates that improper selection of a value for epsilon can result
in serious errors. The importance of the results for DEA practitioners
and the serious consequences of misclassification are discussed.