Search Results - subject:"Cost function"

The Child Care Industry : Cost Functions, Efficiency, and Quality

Mocan, Naci - 2021

Using a newly compiled data set, this paper provides insights into the characteristics of the child care industry. First, there is no difference in average quality of the services produced between nonprofit and for-profit centers. This indicates that nonprofit status cannot be taken as a signal...

Persistent link: https://www.econbiz.de/10013222965

Quality Adjusted Cost Functions

Gertler, Paul J.; Waldman, Donald M. - 2021

for standard cost function estimation, are minimal and the data are usually readily available. Specifically, exogenous … functions in the nursing home industry. Estimation of a translog cost function that ignores quality yields seriously misleading … estimates of marginal cost and economies of scale. In particular, while estimation of a quality-exogenous cost function reports …

Persistent link: https://www.econbiz.de/10013235882

Tractable Cubic Cost Functions for Teaching Microeconomics

Swinton, Scott; Zhang, Hanzhe - 2021

Classes in microeconomics typically use cubic cost functions because they can exhibit marginal costs that fall as output increases to some efficient level, and then rise thereafter. Cubic cost functions embody economies of scale, making it easy to illustrate that concept with quadratic average...

Persistent link: https://www.econbiz.de/10013238313

Environmental Change and Hedonic Cost Functions for Automobiles

Berry, Steven; Kortum, Samuel; Pakes, Ariel - 2021

This paper focuses on how changes in the economic and regulatory environment have affected production costs and product characteristics in the automobile industry. We estimate cost functions characteristics. Then we examine how this cost surface has changed over time and how these changes relate...

Persistent link: https://www.econbiz.de/10013240320

Estimating Empirical Marginal Adjustment Cost Function - A Power Series Approach

Khan, Muhammad Nazmul - 2021

cost function. I discuss the issues in specification and identification in details, focusing particularly on the …

Persistent link: https://www.econbiz.de/10013241137

Flexible Functional Forms and Global Curvature Conditions

Diewert, Walter E.; Wales, Terence J. - 2021

conditions globally in the context of cost function estimation. The first method adopts Lau's technique to a generalization of a …

Persistent link: https://www.econbiz.de/10013247681

Measurement of Output and Quality Adjustment When Hedonics Cannot Be Used : An Illustration for the Day Care Industry

Mukerjee, Swati; Witte, Ann D. - 2021

In this paper, we develop time series estimates of the output and quality of output for day care centers in the U.S. for the 1970s and 1980s. As far as we are aware this is the first time that a time series for day care output and quality has been published. Our results using both physical and...

Persistent link: https://www.econbiz.de/10013232016

Quality Adjusted Cost Functions for Child Care Centers

Mocan, Naci - 2021

Using a newly compiled data set, this paper estimates multi- product translog cost functions for 399 child care centers from California, Colorado, Connecticut, and North Carolina. Quality of child care is controlled by a quality index, which has been shown to be positively related to child...

Persistent link: https://www.econbiz.de/10013233863

Provision of Child Care : Cost Functions for Profit-Making and Not-for-Profit Day Care Centers

Mukerjee, Swati; Witte, Ann D.; Hollowell, Sheila - 2021

generalized homothetic Cobb-Douglas production function. The cost function dual to this production function is estimated …

Persistent link: https://www.econbiz.de/10013215357

The Production and Cost Structure of Israeli Industry : Evidence from Individual Firm Data

Bregman, Arie; Fuss, Melvyn; Regev, Haim - 2021

The main purpose of this paper is to present estimates of production and cost functions obtained from using a time-series, cross-section data set pertaining to Israeli industry, We include a detailed list of heterogeneity controls in the specifications which substantially enhances the...

Persistent link: https://www.econbiz.de/10013215712