distRayEst {micEconDistRay} | R Documentation |
Estimate a Ray-Based Input Distance Function
Description
Empirically analyse multiple-input-multiple-output production technologies by estimating a ray-based input distance function (Price & Henningsen, forthcoming).
Usage
distRayEst( xNames, yNames, zNames = NULL, sNames = NULL,
data, form = "tl", method = "sfa", fixThetas = FALSE, ... )
Arguments
xNames |
a vector of character strings containing the names of the variables that indicate the input quantities. |
yNames |
a vector of two or more character strings containing the names of the variables that indicate the output quantities. |
zNames |
an optional vector of character strings containing the names of ‘environmental’ variables, i.e., variables that affect the production possibility set (i.e., the feasible combinations of input-output quantities) that—in the case of a Translog functional form—should be interacted with the input quantities and the angles of the output vector. |
sNames |
an optional vector of character strings containing the names of ‘environmental’ variables, i.e., variables that affect the production possibility set (i.e., the feasible combinations of input-output quantities) that—in the case of a Translog functional form—should not be interacted with the input quantities and the angles of the output vector. |
data |
data frame containing the data. |
form |
a character string that indicates the functional form;
currently, |
method |
a character string that indicates the estimation method;
currently, |
fixThetas |
logical value that indicates whether undefined angles of the output should be ‘fixed’ if the last two or more output quantities are zero for some of the observations. |
... |
further arguments of |
Value
A list that will be described here later.
Author(s)
Arne Henningsen and Juan José Price
References
Price, J.J. & Henningsen, A. (forthcoming): A Ray-Based Input Distance Function to Model Zero-Valued Output Quantities: Derivation and an Empirical Application. Journal of Productivity Analysis.
Examples
# load and prepare data set
data( appleProdFr86, package = "micEcon" )
appleProdFr86$qCap <- appleProdFr86$vCap / appleProdFr86$pCap
appleProdFr86$qLab <- appleProdFr86$vLab / appleProdFr86$pLab
appleProdFr86$qMat <- appleProdFr86$vMat / appleProdFr86$pMat
# Cobb-Douglas ray-based input distance function
estCD <- distRayEst( xNames = c( "qCap", "qLab", "qMat" ),
yNames = c( "qApples", "qOtherOut" ),
data = appleProdFr86, form = "cd" )
summary( estCD )
# Translog ray-based input distance function
estTL <- distRayEst( xNames = c( "qCap", "qLab", "qMat" ),
yNames = c( "qApples", "qOtherOut" ),
data = appleProdFr86 )
summary( estTL )