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A stochastic production frontier model with a translog specification using the generalized maximum entropy estimator

Author

Listed:
  • Pedro Macedo

    (Department of Mathematics, University of Aveiro, Portugal)

  • Elvira Silva

    (Faculty of Economics, University of Porto, Portugal)

Abstract

In this paper, an empirical application of the generalized maximum entropy estimator in a stochastic production frontier model with a translog specification is discussed to investigate technical efficiency in a wine region of Portugal. The empirical results indicate technical progress over the time period of the sample and an increasing technical inefficiency over time. All production units are technically inefficient, although wine cooperatives are less inefficient than private firms.

Suggested Citation

  • Pedro Macedo & Elvira Silva, 2010. "A stochastic production frontier model with a translog specification using the generalized maximum entropy estimator," Economics Bulletin, AccessEcon, vol. 30(1), pages 587-596.
    • Handle: RePEc:ebl:ecbull:eb-09-00240
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    References listed on IDEAS

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    More about this item

    Keywords

    stochastic frontier analysis; generalized maximum entropy; technical efficiency; translog;
    All these keywords.

    JEL classification:

    • C1 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General
    • Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture

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