Abstract
This article uses linear programming techniques to "estimate" a frontier Cobb-Douglas production function for U.S. agriculture from 1960 to 1967, using the "average farm" in each state in each year as an observation. Both deterministic and probabilistic frontiers are generated and the results compared with ordinary least-squares and analysis of covariance estimates of the production function. Technical inefficiency is defined relative to the probabilistic frontier function and the extent of any inefficiency calculated for each state. Little technical inefficiency exists across states when the production function includes intermediate inputs as well as land, labor, and capital.
Keywords
InefficiencyProduction (economics)Probabilistic logicEconometricsFunction (biology)EconomicsFrontierCovarianceProduction–possibility frontierProduction functionMeasure (data warehouse)MathematicsMathematical optimizationStatisticsMicroeconomicsComputer scienceGeography
Related Publications
Specification and Estimation of Cobb-Douglas Production Function Models
In this paper we consider the specification and estimation of the Cobb-Douglas production function model.After reviewing the "traditional" specifying assumptions for the model w...
A 60-Year Bibliographic Review of the <i>Journal of Advertising Research</i>
In the first large-scale bibliographic overview of the <i>Journal of Advertising Research (JAR)</i>, the authors identify key publication trends since its inception in 1960. Usi...
Publication Info
- Year
- 1971
- Type
- article
- Volume
- 79
- Issue
- 4
- Pages
- 776-794
- Citations
- 510
- Access
- Closed
External Links
Social Impact
Altmetric
PlumX Metrics
Social media, news, blog, policy document mentions
Citation Metrics
510
OpenAlex
Cite This
C. P. Timmer
(1971).
Using a Probabilistic Frontier Production Function to Measure Technical Efficiency.
Journal of Political Economy
, 79
(4)
, 776-794.
https://doi.org/10.1086/259787
Identifiers
- DOI
- 10.1086/259787