Monte Carlo (MC) simulations are one of the dominant approaches to compare statistical methods. To date, there is no standard procedure for MC simulations. Although internally valid, they exhibit a certain degree of arbitrariness through the various choices that researchers make. In this paper,...

Stochastic frontier analysis is a popular tool to assess firm performance. Almost universally it has been applied using maximum likelihood estimation. An alternative approach, pseudolikelihood estimation, decouples estimation of the error component structure and the production frontier, has been...