Estimating Complex Production Functions
A latent class model was considered, with estimates attained by appling the expectation-maximization (EM) algorithm to the log likelihood function. It was found that the estimates are sensitive to the chosen starting points; remedies were investigated. Results are reported here.
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| Neal M., Estimating complex production functions: The importance of starting values,, 51st Australian Agricultural and Resource Economics Society Conference, Queenstown, New Zealand, February 2007. | Abstract | EstimatingComplexProductionFunctions.pdf |
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