Recent developments in the econometric estimation of frontiers

Bauer, Paul W.

doi:10.1016/0304-4076(90)90046-v

Cited by 609 publications

(281 citation statements)

References 42 publications

Supporting

Mentioning

235

Contrasting

Unclassified

Order By: Relevance

“…With direct references to public services, see, for instance Bardhan et al (1998), Banker et al (1986) and Newhouse (1994). 13 See for instance: Lovell and Schmidt (1988), Bauer (1990) and Kumbhakar and Lovell (2000).…”

Section: The Multidimensional Nature Of Public Servicesmentioning

confidence: 99%

Public Sector Contribution To Competitiveness

Patrizii

Resce

2015

Ital Econ J

View full text Add to dashboard Cite

Conventional measures of competitiveness in terms of final prices shed little light on how those measures are affected by public expenditure. By taking productivity as a common factor to any index of competitiveness we propose to assess the Italian Public Sector contribution by its productivity in providing public services. Integration of Data Envelopment Analysis with Principal Component Analysis provides a consistent methodology to face the problem of high dimensions, which is a characterising feature of public services provision. Results show a large geographical variability in Public Sector productivity and a significant differentiation in terms of both layers of government and types of services. Thus offering evidence to identify areas, services and tiers of government lacking efficiency and constituting a potential obstacle for growth. A East-West divide emerges on top of the Country's traditional, though less marked than commonly thought, North-South divide.

show abstract

Section: The Multidimensional Nature Of Public Servicesmentioning

confidence: 99%

Public Sector Contribution To Competitiveness

Patrizii

Resce

2015

Ital Econ J

View full text Add to dashboard Cite

show abstract

“…46 Bauer (1990) distinguished three 'routes' that the literature has followed in order to solve this problem.…”

Section: Duality Theorymentioning

confidence: 99%

“…A first group of solutions is what Bauer (1990) calls qualitative solutions. They directly ignore the relationship between the allocative inefficiency term in the cost function and the one in the input share equations.…”

Section: Duality Theorymentioning

confidence: 99%

“…Melfi (1984) and Bauer (1985) are listed in Bauer (1990)'s literature review as examples of this 'route'. A further contribution to this research agenda is the approach described in Kopp and Mullahy (1990) where some of the distributional assumptions that characterize most of the stochastic frontier cost models based on maximum-likelihood techniques are relaxed by applying Generalized method of moments estimation procedures.…”

Section: Duality Theorymentioning

confidence: 99%

See 1 more Smart Citation

Economic Efficiency and Frontier Techniques

Zamorano

2004

Journal of Economic Surveys

319

179

View full text Add to dashboard Cite

Abstract. Most of the literature related to the measurement of economic efficiency has based its analysis either on parametric or on non-parametric frontier methods. The choice of estimation method has been an issue of debate, with some researchers preferring the parametric and others the non-parametric approach. The aim of this paper is to provide a critical and detailed review of both core frontier methods. In our opinion, no approach is strictly preferable to any other. Moreover, a careful consideration of their main advantages and disadvantages, of the data set utilized, and of the intrinsic characteristics of the framework under analysis will help us in the correct implementation of these techniques. Recent developments in frontier techniques and economic efficiency measurement such as Bayesian techniques, bootstrapping, duality theory and the analysis of sampling asymptotic properties are also considered in this paper.

show abstract

“…The scope for such extensions is of course that "…there is considerable scope for alternatives to the original model of Aigner, Lovell, and 1 The standard references are Aigner, Lovell and Schmidt (1977) and Meeusen and van den Broeck (1977). For reviews see Bauer (1990), Greene (1993Greene ( , 1999 and Kumbhakar and Lovel (2000). 2 See Ritter and Simar (1997) for some disturbing properties of the normal-gamma model.…”

Section: Introductionmentioning

confidence: 99%

Maximum likelihood estimation of stochastic frontier models by the Fourier transform

Tsionas¹

2012

Journal of Econometrics

View full text Add to dashboard Cite

The paper is concerned with several kinds of stochastic frontier models whose likelihood function is not available in closed form. First, with output-oriented stochastic frontier models whose one-sided errors have a distribution other than the standard ones (exponential or half-normal). The gamma and beta distributions are leading examples. Second, with input-oriented stochastic frontier models which are common in theoretical discussions but not in econometric applications. Third, with two-tiered stochastic frontier models when the one-sided error components follow gamma distributions. Fourth, with latent class models with gamma distributed onesided error terms. Fifth, with models whose two-sided error component is distributed as stable Paretian and the one-sided error is gamma. The principal aim is to propose approximations to the density of the composed error based on the inversion of the characteristic function (which turns out to be manageable) using the Fourier transform. Procedures that are based on the asymptotic normal form of the loglikelihood function and have arbitrary degrees of asymptotic efficiency are also proposed, implemented and evaluated in connection with output-oriented stochastic frontiers. The new methods are illustrated using data for US commercial banks, electric utilities, and a sample from the National Youth Longitudinal Survey.

show abstract

Recent developments in the econometric estimation of frontiers

Cited by 609 publications

References 42 publications

Public Sector Contribution To Competitiveness

Public Sector Contribution To Competitiveness

Economic Efficiency and Frontier Techniques

Maximum likelihood estimation of stochastic frontier models by the Fourier transform

Contact Info

Product

Resources

About