Article ID: | iaor20001875 |
Country: | Germany |
Volume: | 7 |
Issue: | 2 |
Start Page Number: | 93 |
End Page Number: | 110 |
Publication Date: | Apr 1999 |
Journal: | Central European Journal of Operations Research |
Authors: | Gstach Dieter |
This paper surveys four distinct approaches to frontier estimation of multi-output (and simultaneously multi-input) technologies, when nothing but noisy quantity data are available. Parametrized distributions for inefficiency and noise are necessary for identification of inefficiency, when only cross-sectional data are available. In other respects suitable techniques may differ widely, as is shown. A final technique presented rigorously exploits the possibilities from panel-data by dropping parametrization of distributions as well as functional forms. It is illustrated how this last technique can be coupled with the others to provide a state-of-the art estimation procedure for this setting.