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Working Paper

A Technique for Estimating a Cost System that Allows for Inefficiency

The presentation of a new econometric technique for estimating a system of cost and input share equations that allow for inefficiency.

Working Papers of the Federal Reserve Bank of Cleveland are preliminary materials circulated to stimulate discussion and critical comment on research in progress. They may not have been subject to the formal editorial review accorded official Federal Reserve Bank of Cleveland publications. The views expressed in this paper are those of the authors and do not represent the views of the Federal Reserve Bank of Cleveland or the Federal Reserve System.


Suggested Citation

Bauer, Paul. 1987. “A Technique for Estimating a Cost System that Allows for Inefficiency.” Federal Reserve Bank of Cleveland, Working Paper No. 87-04.