This paper estimates, incorporating a Transcendental Logarithmic Production Function, the technical efficiency level of different industries in selected E.U. countries. The paper considers panel data for inefficiency effects in stochastic production frontier based on Battese and Coelli (1995),...

This paper estimates, incorporating a Transcendental Logarithmic Production Function, the technical efficiency level of different industries in selected E.U. countries. The paper considers panel data for inefficiency effects in stochastic production frontier based on Battese and Coelli (1995),...

Neoclassical economics assume that producers in an economy always operate efficiently, however in real terms, producers are not always fully efficient. This difference may be explained both in terms of efficiency, as well as unforeseen exogenous shocks outside the producer control. This paper...