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A Consistent Approach to Cost Efficiency Measurement

George Bitros () and Mike Tsionas

DEOS Working Papers from Athens University of Economics and Business

Abstract: Consistent specifications of the allocative inefficiency function in cost plus input share equations systems may be difficult, if not impossible, to find because most plausible ones violate certain reasonable a priori conditions. Moreover, the models to which they lead give rise to highly non-linear likelihood functions that are very hard to estimate.

Keywords: COSTS; MODELS; LABOUR (search for similar items in EconPapers)
JEL-codes: C51 D24 D61 G32 (search for similar items in EconPapers)
Date: 2001
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