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inefficiencies are sensitive to specification errors. One source of such errors is heteroscedasticity. This paper addresses this … issue by extending the Hadri (1999) correction for heteroscedasticity to stochastic production frontiers and to panel data …. It is argued that heteroscedasticity within an estimation can have a significant effect on results, and that correcting …
Persistent link: https://www.econbiz.de/10005168928
This paper investigates whether there is any relationship between farm size, technical efficiency and the use of agrochemicals which are potentially environmentally contaminating. These questions are pertinent in the context of current EU policy decisions. Using two models of stochastic frontier...
Persistent link: https://www.econbiz.de/10005627105
Translog functional form implies an implausible linear relationship between the (logarithmic) firm size and the elasticity of …
Persistent link: https://www.econbiz.de/10010583806
We apply nonparametric panel data kernel regression to investigate production risk, out-put price uncertainty, and risk attitudes of Polish dairy farms based on a firm-level unbalanced panel data set that covers the period 2004–2010. We compare different model specifications and different...
Persistent link: https://www.econbiz.de/10010709599
We discuss nonparametric regression models for panel data. A fully nonparametric panel data specification that uses the time variable and the individual identifier as additional (categorical) explanatory variables is considered to be the most suitable. We use this estimator and conventional...
Persistent link: https://www.econbiz.de/10010822723
. The extended correction for heteroscedasticity is supported by the data. The study uses data on 102 mainly cereal farms in …
Persistent link: https://www.econbiz.de/10008852251
We consider a model that provides flexible parameterizations of the exogenous influences on inefficiency. In particular, we demonstrate the model's unique property of accommodating non-monotonic efficiency effect. With this non-monotonicity, production efficiency no longer increases or decreases...
Persistent link: https://www.econbiz.de/10009025310
This paper proposes an approach to specify and estimate multiple input, multiple output production frontiers and technical efficiency using a stochastic ray frontier production model A possible model extension is to incorporate a technical efficiency effects model to allow estimation of the...
Persistent link: https://www.econbiz.de/10005423780
This paper has two purposes. The first purpose is methodological and aims to extend previous work on efficiency analysis by implementing a multiple-output stochastic ray frontier production function model. This model generalizes the single-output stochastic frontier model to multiple-input,...
Persistent link: https://www.econbiz.de/10005649481
This paper proposes a generalization of the single output stochastic production frontier model. The generalization allows estimation of production frontiers and distance functions (technical efficiency) for multiple output technologies using cross section or panel data on inputs and outputs.
Persistent link: https://www.econbiz.de/10005649500