fan {semsfa}

Pseudolikelihood estimator of the \lambda parameter

Description

Pseudolikelihood estimator of the \lambda parameter

Usage

fan(lambda_fan, resp, Ey, ineffD)

Arguments

lambda_fan

the \lambda=\sigma_u/\sigma_v parameter to be estimated

resp

the single response variable Y observed

Ey

the conditional expectation estimate obtained in the first step of the algorithm

ineffD

logical: TRUE for estimating a production function, FALSE for estimating a cost function; this is done for usage compatibility with frontier package

Value

Estimated \lambda parameter

Note

Internal usage only

Author(s)

Giancarlo Ferrara and Francesco Vidoli

References

Fan, Y., Li, Q., Weersink, A., 1996. Semiparametric estimation of stochastic production frontier models. Journal of Business & Economic Statistics 14:460-468