The RATS Software Forum

hi dear tom:

i am trying to estimate the a Cobb-Douglas Production Function by Corrected Ordinary Least Squares(COLS).can you give the related code? thanks dear . i waiting for your reply as soon as. thanks dear.

i am trying to estimate allocative efficiency by kopp method.for this reason i need to to estimate the a Cobb-Douglas Production Function by Corrected Ordinary Least Squares(COLS) and but i need to get allocative efficiency by kopp method ,can you give me the related cod about both allocative efficiency by kopp method and Cobb-Douglas Production Function by Corrected Ordinary Least Squares(COLS) .can you give the related code? thanks dear . i waiting for your reply as soon as. thanks dear

hi Dear Tom.
i bring for you the reference .thanks so much
Koop, Materov I.S., and Schmidt P.; “ On the Estimation of Allocative Efficiency in the Stochastic Frontier Production Model ”, Journal of Econometric, No , 19 .P.P.233-
238 ,2oo3.

Is there a reason for not doing maximum likelihood? Corrected least squares (or more properly method of moments) requires making an assumption about the error process and then uses the implied moments of the truncated process. ML is actually simpler. See the maximize.rpf example, which takes an example out of the Greene textbooks (6th edition or earlier---7th uses a different example).