Parametric stochastic frontier models have a long history in applied production eco- nomics, but the class of tractible parametric models is relatively small. Consequently, researchers have recently considered nonparametric alternatives such as kernel den- sity estimators, functional...

Conditional Markov chain models of observed aggregate sharetype data have been used by economic researchers for several years, but the classes of models commonly used in practice are often criticized as being purely ad hoc because they are not derived from microbehavioral foundations. The...