Sun, K and Kumbhakar, SC 2013, 'Semiparametric smooth-coefficient stochastic frontier model' , Economics Letters, 120 (2) , pp. 305-309.
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This paper proposes a semiparametric smooth-coefficient (SPSC) stochastic production frontier model where regression coefficients are unknown smooth functions of environmental factors (Z). Technical inefficiency is specified in the form of a parametric scaling function which also depends on the Z variables. Thus, in our SPSC model the Z variables affect productivity directly via the technology parameters as well as through inefficiency. A residual-based bootstrap test of the relevance of the environmental factors in the SPSC model is suggested. An empirical application is also used to illustrate the technique.
|Schools:||Schools > Salford Business School > Business and Management Research Centre|
|Journal or Publication Title:||Economics Letters|
|Funders:||Non funded research|
|Depositing User:||Dr Kai Sun|
|Date Deposited:||29 May 2015 17:38|
|Last Modified:||29 Oct 2015 00:47|
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