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power when high numbers of variables but only limited observations are available. We apply PCA-DEA for radial efficiency … while maintaining most of the variation in the original data. Our results suggest that the PCA-DEA methodology reduces the … variables without substantially reducing the discriminatory power of the model. -- Efficiency analysis ; DEA ; PCA ; company …
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This paper provides an empirical analysis on the determination of wages at the sectoral level in main industrial economies. Nominal wages are bargained between labour unions and employers in imperfect competitive markets, where spillovers across sectors might occur. Using a principal component...
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Structural vector-autoregressive models are potentially very useful tools for guiding both macro- and microeconomic policy. In this paper, we present a recently developed method for exploiting non-Gaussianity in the data for estimating such models, with the aim of capturing the causal structure...
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From time to time, economies undergo far-reaching structural changes. In this paper we investigate the consequences of structural breaks in the factor loadings for the specification and estimation of factor models based on principal components and suggest test procedures for structural breaks....
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