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Estimating Multioutput Technologies
Author(s) -
Chambers Robert G.,
Just Richard E.
Publication year - 1989
Publication title -
american journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.949
H-Index - 111
eISSN - 1467-8276
pISSN - 0002-9092
DOI - 10.2307/1242674
Subject(s) - computer science , mathematical optimization , variable (mathematics) , set (abstract data type) , dual (grammatical number) , function (biology) , profit (economics) , mathematics , economics , microeconomics , art , mathematical analysis , literature , evolutionary biology , programming language , biology
This paper solves the problem of determining fixed but allocatable input allocations by dual methods. A flexible, profit function approach for estimating input‐nonjoint technologies with allocatable fixed factors is developed. Variable input allocations can be calculated from the estimated technology. A correct test for input nonjointness that discriminates between true and apparent jointness is derived in a framework that permits fully linear estimation of a second‐order flexible technology. To illustrate, these methods are applied to the Just‐Zilberman‐Hochman data set.