A Study on Directional Returns to Scale

Abstract

This study investigates the directional return to scale of biological institutions in the China Science Academy. In the first stage, the input-output indicators provided including staff, budget of studies, SCI articles, high quality articles and graduate education, etc. In the second stage, the method proposed by Yang (2012) was used to analyse directional return to scale and directional congestion effects on biological institutes in the China Science Academy was studies. The results indicated that diagnosis directional return to scale (incremental, constant, and decreasing)  taken for each biological institute that this information can be the basis for decisions regarding the modification of any organization. Also, congestion and directional congestion occur in several biological institutes. In such cases, when the inputs are increased the outputs of these institutions are reduced. These institutions should analyze the occurrence of congestion of specific cause up to more resources to be used more effectively and useful.