  An alternative approach for the panel second stage of data envelopment
analysis (DEA) is presented in this paper. Instead of efficiency scores, we
propose to model rankings in the second stage using a dynamic ranking model in
the score-driven framework. We argue that this approach is suitable to
complement traditional panel regression as a robustness check. To demonstrate
the proposed approach, we determine research efficiency of higher education
systems at country level by examining scientific publications and analyze its
relation to good governance. The proposed approach confirms positive relation
to the Voice and Accountability indicator, as found by the standard panel
linear regression, while suggesting caution regarding the Government
Effectiveness indicator.
