Bos, J.W.B.; Koetter, M. - Volkswirtschaftliche Fakultät, … - 2006
In this paper, we compare standard approaches used to handle losses in logarithmic stochastic profit frontier models … with a simple novel approach. We discuss discriminatory power, rank stability and precision of profit efficiency scores. Our … new method enhances rank stability and discriminatory power, and improves the precision of profit efficiency scores. …