L_hnv_rho: SSFA half-normal log likelihood function

In ssfa: Spatial Stochastic Frontier Analysis

SSFA half-normal log likelihood function

Description

This function is used to estimate the parameters of the SSFA model where half-normal distribution of inefficiency term is assumed.

Usage

L_hNV_rho(p, y = y, X = X, sc = sc, w = w, sigmau2_sar = sigmau2_sar)

Arguments

p	a vector with the parameters to be estimated.
y	the dependent variable.
X	the model matrix.
sc	specifies the form of the frontier model (-1 = cost, 1 = production).
w	the spatial weight matrix.
sigmau2_sar	is the variance of the spatial correlated part of the inefficiency term estimated into ssfa.fit function.

Value

Value of the SSFA log likelihood function.

Note

Please note that sigmau2_sar is not a free parameter because it is estimated into the ssfa.fit function.

See Also

ssfa

ssfa documentation built on Aug. 28, 2023, 5:09 p.m.