Modeling allocative inefficiency in a translog cost function and cost share equations: An exact relationship

DOI10.1016/0304-4076(95)01796-8zbMath0885.62130OpenAlexW2078451511MaRDI QIDQ1362045

Subal C. Kumbhakar

Publication date: 3 May 1998

Published in: Journal of Econometrics (Search for Journal in Brave)

Full work available at URL: https://doi.org/10.1016/0304-4076(95)01796-8

zbMATH Keywords

technical inefficiencycost functionsallocative inefficiencycost share equationstranslog cost function

Mathematics Subject Classification ID

Applications of statistics to economics (62P20) Mathematical economics (91B99)

Related Items

Pitfalls in the estimation of a cost function that ignores allocative inefficiency: a Monte Carlo analysis ⋮ Estimation of technical and allocative inefficiency: a primal system approach ⋮ A review of bank efficiency and productivity ⋮ Endogeneity in stochastic frontier models ⋮ Parameters measuring bank risk and their estimation ⋮ Technical and allocative efficiency in European banking ⋮ On the equivalence of two normalizations in estimating shadow cost functions ⋮ The decomposition of cost efficiency and the canonical form of cost function and cost share equations ⋮ Technical and allocative efficiency in a panel stochastic production frontier system model ⋮ Estimation of market power in the presence of firm level inefficiencies ⋮ Endogenous dynamic efficiency in the intertemporal optimization models of firm behavior ⋮ Management estimation in banking ⋮ Estimating input-specific technical inefficiency: The case of the Tunisian banking industry ⋮ Some recent developments in efficiency measurement in stochastic frontier models ⋮ Endogenous productivity: a new Bayesian perspective ⋮ On identifying risk-adjusted efficiency gains or losses of prospective mergers and acquisitions ⋮ The effect of the normalisation of the shadow price vector on the cost function estimation. ⋮ On the Joint Estimation of Heterogeneous Technologies, Technical, and Allocative Inefficiency ⋮ Measuring technical and allocative inefficiency in the translog cost system: a Bayesian approach

Cites Work

• On the estimation of a flexible frontier production model
• Formulation and estimation of stochastic frontier production function models
• Estimating technical and allocative inefficiency relative to stochastic production and cost frontiers
• A simplification of the Kopp-Diewert method of decomposing cost efficiency and some implications
• Efficiency Estimation from Cobb-Douglas Production Functions with Composed Error

This page was built for publication: Modeling allocative inefficiency in a translog cost function and cost share equations: An exact relationship