Explaining changes in productivity involves explaining changes in output and input quantities. Several economic models can be used for this purpose. This paper considers a model that accounts for weather and output price uncertainty. Changes in productivity are then explained in two steps....

Markov Chain Monte Carlo (MCMC) methods are used to estimate a seemingly unrelated regression (SUR) system of input demand functions for U.S. agriculture. Our demand functions have flexible forms and allow for nonrandom technical inefficiency. Concavity constraints are imposed at individual data...

Systems of equations comprising cost functions and first‐order derivative equations are often used to estimate characteristics of production technologies. Unfortunately, many estimated systems violate the regularity conditions implied by economic theory. Sampling theory methods can be used to...