In this paper we propose new aggregate or ‘group’ primal and dual scale elasticity measures of an economic system (e.g., industry consisting of several firms, etc.). The main contribution of the paper is that we show under what assumptions a formal relationship between these new aggregate...

In this paper we propose a very flexible estimator in the context of truncated regression that does not require parametric assumptions. To do this, we adapt the theory of local maximum likelihood estimation. We provide the asymptotic results and illustrate the performance of our estimator on...

In this paper we extend the work of Färe and Zelenyuk (2003) to find a theoretically justified method of aggregating Malmquist Productivity Indexes over individual decision making units (firms, countries, etc.) into a group Malmquist Productivity Index. We also consider the aggregation of...

In this note we investigate the power of significance test for dummy-variables in the context of Simar and Wilson (2003) two-stage efficiency analysis model.

Shephard’s distance functions are widely used instruments for characterizing technology and for estimating efficiency in contemporary economic theory and practice. Recently, they have been generalized by the Luenberger shortage function, or Chambers-Chung-Färe directional distance function....

In this paper we propose a very flexible estimator in the context of truncated regression that does not require parametric assumptions. To do this, we adapt the theory of local maximum likelihood estimation. We provide the asymptotic results and illustrate the performance of our estimator on...

In this paper we use the Kumar and Russell [American Economic Review (2002) Vol. 92, pp. 527–548] growth-accounting procedure to examine cross-country growth during the 1990s. Using a data set comprising developed, newly industrialized, developing and transitional economies, we decompose the...

The challenge of the econometric problem in production efficiency analysis is that the efficiency scores to be analyzed are unobserved. Statistical properties have recently been discovered for a type of estimator popular in the literature, known as data envelopment analysis (DEA). This opens up...

In this paper we extend the work of Simar (2007) introducing noise in nonparametric frontier models. We develop an approach that synthesizes the best features of the two main methods in the estimation of production efficiency. Specifically, our approach first allows for statistical noise,...