In this research, we focus on effects of foreign direct investments in Southeast European economies. Using World Bank Microdata Library and specifically Enterprise Surveys, we take a sample of six countries. The model is based on firm-level data of a representative sample of economy's private...

Trade, financial, and exchange rate reforms are shown to have exerted a positive impact on the growth of total factor productivity in Rwanda during the period 1995-2003. Based on a constant returns-to-scale Cobb-Douglas production function, this paper regresses total factor productivity on...

One problem when estimating a Cobb-Douglas production function with micro data is how to deal with the observations that show positive output but do not use some of the inputs. As the log of zero is not defined, one standard procedure is to arbitrarily replace those zero values with...

We propose a new nonparametric approach to estimate the production function for housing. Our estimation treats output as a latent variable and relies on the first order condition for profit maximisation with respect to nonland inputs by competitive house builders. For parcels of a given size, we...

Niger is a landlocked Sahelian country, two-thirds of which is in the Sahara desert, with only one-eighth of the land considered arable. Nevertheless, more than 90 percent of Niger’s labor force is employed in agriculture, which is predominantly subsistence oriented. Since the great famines of...

Jones (2005) proposed microfoundations for the Cobb-Douglas production function. We show that Jones' technological menu is a special case of a concept of support set discussed by Matveenko (1997) and Rubinov, Glover (1998) by use of a duality approach. We use this approach to clarify the...