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Directional Distance Functions (DDFs) are becoming a popular way of measuring efficiency as they encompass the Shephard output and input distance functions as special cases. However, the most critical and still unsolved issue related to DDF remains the selection of the direction along which to measure the distance from the efficient frontier. In this article, we propose some empirical tools which allow to quantify the sensitivity of the efficiency measurement to the selection of the direction. The proposed tools are applied on a dataset on the Italian agricultural sector. [ABSTRACT FROM AUTHOR]

Focuses on the significance of deregulation in shaping market structure and industry efficiency, in the case of the motor insurance industry in Italy. Influence of insurance premiums on the inflation rate; Impact of motor insurance prices on inflation and froze tariffs; Effects of deregulation on the dynamics of insurers.

In the 2000s, Italy liberalized its electricity and natural gas markets, and in 2016, it separated retail activities from other activities within these markets. Such differentiation is unique within Europe. Italy is an ideal case for investigating which operational factors may increase profit margins among electricity and gas retailers. The present analysis analyzes 120 retail operators in the Italian electricity and gas markets in 2020, using two models to assess their cost and commercial efficiencies in achieving high direct margin (defined as the difference between revenues and raw materials cost). The findings show a positive effect of size on efficiency. • We analyze the Italian electricity and natural gas retail market in 2020. • We develop two benchmarking models to investigate cost and commercial efficiencies. • We analyze which features bring advantages in achieving high margins to Italian retailers. • We find evidence of economies of scale. • A demand aggregator could provide high margins for small operators. [ABSTRACT FROM AUTHOR]