Supervised dimension reduction methods have been extensively applied in different scientific fields like biology and medicine in recent years. However, they have hardly ever been used in micro economics, and in particular cost function modeling. Nonetheless, these methods can also be useful in...

This chapter discusses common methodological, theoretical and empirical choices that scholars face when undertaking productive and economic efficiency analyses. After summarizing the main results of duality theory in Section 2, we outline in Section 3 the most popular empirical methods available...

This article explores the relationship between milk quota values and economic efficiency in order to analyze government interventions in quota allocations among producers. For this purpose, we estimate quota values using a panel of Spanish dairy farms. Quota values are then decomposed into...