Estimating technical efficiency in micro panels

Bootstrap confidence intervals on fixed-effects efficiency estimates in micro panels exhibit low coverage probabilities. We propose an alternative efficiency measure involving the mean of the firm effects. With the same estimated efficiency ranks as the traditional measure, its corresponding bootstrap confidence intervals have better coverage probabilities.

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Year of publication:	2012
Authors:	Feng, Qu ; Horrace, William C.
Published in:	Economics Letters. - Elsevier, ISSN 0165-1765. - Vol. 117.2012, 3, p. 730-733
Publisher:	Elsevier
Subject:	Max operator \| Stochastic frontier model \| Bootstrap \| Micro panel data

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Type of publication:	Article
Classification:	C15 - Statistical Simulation Methods; Monte Carlo Methods ; C23 - Models with Panel Data ; D24 - Production; Capital and Total Factor Productivity; Capacity
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10010594174