An alternative method for predicting technical inefficiency in stochastic frontier models
Yoshihiko Tsukuda and
Tatsuyoshi Miyakoshi
Applied Economics Letters, 2003, vol. 10, issue 11, 667-670
Abstract:
The median is proposed as an alternative to the expectation of the conditional distribution in order to predict the technical inefficiency in stochastic frontier production models with panel data. Numerical comparison reveals that the two predictors can take different values when the distribution is skewed.
Date: 2003
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Persistent link: https://EconPapers.repec.org/RePEc:taf:apeclt:v:10:y:2003:i:11:p:667-670
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DOI: 10.1080/1350485032000136388
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