Multicollinearity hampers empirical econometrics. The remedies proposed to date suffer from pitfalls of their own. The ridge estimator is not generally accepted as a vital alternative to the ordinary least-squares (OLS) estimator because it depends upon unknown parameters. The generalized...

The conjecture of a price-induced technical progress was formulated by Hicks in 1932. It acquired prominence during the seventies with the work of Hayami and Ruttan who dealt with the agricultural sectors in the United States and Japan. A novel specification of this hypothesis is that output and...