Local public transport efficiency analysis: empirical evidence from Italian provinces

Abstract

This study presents evidence on the efficiency of local public transport (LPT) in Italian provinces from 2002 to 2017. It employs a two-stage analysis. First, efficiency is measured using data envelopment analysis (DEA). Subsequently, these scores are compared to local context variables using linear panel data models. The study evaluates both expenditures and technical efficiency, considering various inputs and outputs such as vehicle kilometres, accidents, and the number of passengers. Efficiency scores have been computed for each provincial capital, which are classified as decision-making units (DMUs). The results reveal significant changes in regional efficiency; however, no clear geographical pattern is identified among municipalities, though municipalities in northern regions exhibit higher levels of efficiency on average. The study also identifies and investigates the key factors influencing the efficiency of LPT. The insights from this efficiency analysis underscore the pivotal role of LPT in regional development, highlighting its growing relevance amidst urban and demographic shifts.