Desli, Evangelia; Ray, Subhash C.; Kumbhakar, Subal C. - Department of Economics, University of Connecticut - 2002
In this paper we introduce technical efficiency via the intercept that evolve over time as a AR(1) process in a stochastic frontier (SF) framework in a panel data framework. Following are the distinguishing features of the model. First, the model is dynamic in nature. Second, it can separate...