TY  - CHAP
AB  - Abstract We consider a semiparametric panel stochastic frontier model where one-sided firm effects representing inefficiencies are correlated with the regressors. A form of the Chamberlain-Mundlak device is used to relate the logarithm of the effects to the regressors resulting in a lognormal distribution for the effects. The function describing the technology is modeled nonparametrically using penalized splines. Both Bayesian and non-Bayesian approaches to estimation are considered, with an emphasis on Bayesian estimation. A Monte Carlo experiment is used to investigate the consequences of ignoring correlation between the effects and the regressors, and choosing the wrong functional form for the technology.
VL  - 40B
SN  - 978-1-83867-419-9, 978-1-83867-420-5/0731-9053
DO  - 10.1108/S0731-90532019000040B002
UR  - https://doi.org/10.1108/S0731-90532019000040B002
AU  - Hajargasht Gholamreza
AU  - Griffiths William E.
PY  - 2019
Y1  - 2019/01/01
TI  - A Semiparametric Stochastic Frontier Model with Correlated Effects
T2  - Topics in Identification, Limited Dependent Variables, Partial Observability, Experimentation, and Flexible Modeling: Part B
T3  - Advances in Econometrics
PB  - Emerald Publishing Limited
SP  - 1
EP  - 28
Y2  - 2024/05/05
ER  -