EFFICIENCY OF URBAN PASSENGER TRANSPORT BY BUS: AN APPLICATION TO THE CASE OF CUENCA-ECUADOR

<jats:p>Objective: The study aims to analyze the technical and scale efficiency of public transportation in Cuenca, Ecuador, using Data Envelopment Analysis (DEA). It evaluates both supply and demand aspects.   Theoretical Framework: DEA measures the efficiency of decision-making units (DMUs) in using inputs to produce outputs. It's widely used to assess public transportation efficiency by comparing resource usage and service outcomes.   Method: The study analyzes 37 DMUs, considering kilometers traveled, number of frequencies, and total fleet as inputs, and operating costs and passenger demand as outputs.   Results and Discussion: DEA_Demand showed a 90% technical efficiency and 45% scale efficiency. DEA_Offer showed 94% and 96% efficiency, respectively, highlighting the potential for adjustments in both approaches.   Research Implications: The findings help policymakers optimize resource allocation and improve public transport services.   Originality/Value: The study uniquely combines supply and demand analysis using DEA in a mid-sized city like Cuenca, offering actionable insights.</jats:p>