In this paper, we propose an alternative econometric framework for estimating and decomposing productivity change that does not require a distribution for inefficiency or the uncorrelatedness between inefficiency and the regressors. We develop our methodology for the input-oriented radial...

We adopt a framework to specify a household's child development technology with a set of interdependent inputs and outputs, finding significant, productive dynamic effects due to young children's Head Start participation. Our panel data estimates show that initial counter-productive partial...

Airlines use robust scheduling to mitigate the impact of unforeseeable disruptions on profits. We examine how effectively three common practices – flexibility to swap aircraft, flexibility to reassign gates, and scheduled aircraft downtime – accomplish this goal. We first estimate a...

Chile’s hydroelectric industry was privatized in 1985, but required to operate within a regulatory framework designed to achieve a competitive outcome. A centralized dispatch center was established to ensure production at minimum cost, subject to constraints on minimum release and minimum...

A large literature measures the allocative and technical efficiency of a set of firms using econometric techniques to estimate stochastic production frontiers or distance functions. Typically, researchers compute only the precision of individual efficiency rankings. Recently, Horrace and Schmidt...