EDUCATION PRODUCTION FUNCTION - CONTRIBUTION OF FACTORS TO EFFICIENCY MEASUREMENT

Formulated and regressed on the base of observed data sample a production function allows for efficiency computations evaluating all units of the sample. Creating thus an inequality index, a question of influence of input factors arises. The Shapley value decomposition generalized by Sorrocks represents a regression based approach to decompose any inequality index. Production function explaining grade by the help of preliminary tests score is estimated distinguishing between public and private school students. An eventual influence of the type of property on the student performance is studied. Further, a contribution of the property factor to efficiency measurement is computed. While the grade itself in our sample does not depend on the type of property, a contribution of this factor to efficiency is apparent. The interpretation of results is that the private school students from the sample are less willing to move from worse introductory results to a successful grade.