Stochastic Frontier Models of Prism Vertices

2000 ◽  
Vol 1718 (1) ◽  
pp. 18-26 ◽  
Author(s):  
Ryuichi Kitamura ◽  
Toshiyuki Yamamoto ◽  
Keiko Kishizawa ◽  
Ram M. Pendyala
Keyword(s):  
Stochastic Frontier ◽  
Space Time ◽  
Mean Difference ◽  
Terminal Vertex ◽  
Time Axis ◽  
Explanatory Variables ◽  
Stochastic Frontier Models

A methodology to estimate the location and size of space-time prisms that govern individuals’ activity and travel is presented. Because the vertices of a prism are unobservable, stochastic frontier models are formulated to locate prism vertices along the time axis using observable trip starting or ending times as the dependent variable and commute characteristics, personal and household attributes, and area characteristics as explanatory variables. Models are estimated successfully with coherent behavioral indications. A mean difference of 1.46 h is found between the observed trip ending time and the expected location of the terminal vertex for workers’ evening prisms. The estimation results aid in enhancing the understanding of prism constraints by identifying the determinants of prism vertex locations.

Space-Time User Benefit and Utility Accessibility Measures for Individual Activity Schedules

2003 ◽  
Vol 1854 (1) ◽  
pp. 62-73 ◽  
Author(s):  
Olu Ashiru ◽  
John W. Polak ◽  
Robert B. Noland
Keyword(s):  
Travel Behavior ◽  
Stochastic Frontier ◽  
Limited Range ◽  
Space Time ◽  
Data Sets ◽  
Activity Schedules ◽  
Individual Activity ◽  
Stochastic Frontier Models ◽  
Associated Family ◽  
Activity Diary

Accessibility is a fundamental concept in human existence, which goes to the heart of the notion of society, equity, and justice. However, despite the importance of the concept, the mathematical measures that have historically been used to quantify accessibility levels have been relatively poorly defined and have encompassed a limited range of observed forms of travel behavior. Existing space–time locational benefit measures are extended to encapsulate more realistic temporal constraints on activity participation and the associated perceived user benefit. The development of a family of space–time route benefit measures is outlined. Despite their apparent theoretical attractiveness, hitherto researchers have not used such measures. It is demonstrated how these route benefit measures can be used to develop an associated family of disaggregate activity-based space–time utility accessibility measures applicable to individual activity schedules and how income constraints can be incorporated within the space–time utility accessibility measures. Finally, the means by which stochastic frontier models can be used in conjunction with existing travel–activity diary data sets to operationalize the proposed measure of accessibility are briefly described.

scholarly journals Estimation of Stochastic Frontier Models with Fixed Effects through Monte Carlo Maximum Likelihood

2011 ◽  
Vol 2011 ◽  
pp. 1-13 ◽  
Author(s):  
Grigorios Emvalomatis ◽  
Spiro E. Stefanou ◽  
Alfons Oude Lansink
Keyword(s):  
Monte Carlo ◽  
Random Effects ◽  
Fixed Effects ◽  
Likelihood Function ◽  
Stochastic Frontier ◽  
General Context ◽  
Explanatory Variables ◽  
Monte Carlo Experiments ◽  
Incidental Parameters ◽  
Stochastic Frontier Models

Estimation of nonlinear fixed-effects models is plagued by the incidental parameters problem. This paper proposes a procedure for choosing appropriate densities for integrating the incidental parameters from the likelihood function in a general context. The densities are based on priors that are updated using information from the data and are robust to possible correlation of the group-specific constant terms with the explanatory variables. Monte Carlo experiments are performed in the specific context of stochastic frontier models to examine and compare the sampling properties of the proposed estimator with those of the random-effects and correlated random-effects estimators. The results suggest that the estimator is unbiased even in short panels. An application to a cross-country panel of EU manufacturing industries is presented as well. The proposed estimator produces a distribution of efficiency scores suggesting that these industries are highly efficient, while the other estimators suggest much poorer performance.

scholarly journals Constraints in models of production and cost via slack-based measures

2021 ◽  
Author(s):  
Caroline Khan ◽  
Mike G. Tsionas
Keyword(s):  
Power Generation ◽  
Stochastic Frontier ◽  
Inequality Constraints ◽  
Order Conditions ◽  
Flexible Functional Forms ◽  
Cost Share ◽  
First Order ◽  
Stochastic Frontier Models ◽  
Endogenous Variables ◽  
Functional Forms

AbstractIn this paper, we propose the use of stochastic frontier models to impose theoretical regularity constraints (like monotonicity and concavity) on flexible functional forms. These constraints take the form of inequalities involving the data and the parameters of the model. We address a major concern when statistically endogenous variables are present in these inequalities. We present results with and without endogeneity in the inequality constraints. In the system case (e.g., cost-share equations) or more generally, in production function-first-order conditions case, we detect an econometric problem which we solve successfully. We provide an empirical application to US electric power generation plants during 1986–1997, previously used by several authors.

Sign in / Sign up

Export Citation Format

Share Document