Description Usage Arguments Details Author(s) See Also Examples
View source: R/snqProfitWeights.R
Returns a vector of weights to normalize prices on a Symmetric Normalized Quadratic (SNQ) Profit function.
1 | snqProfitWeights( priceNames, quantNames, data, method = "DW92", base = 1 )
|
priceNames |
a vector of strings containing the names of netput prices. |
quantNames |
a vector of strings containing the names of netput quantities. |
data |
a data frame containing the data. |
method |
the method to determine the weights (see details). |
base |
the base period(s) for scaling prices (see details). |
If argument method
is 'DW92' the method of Diewert and
Wales (1992) is applied. They predetermine the weights by
θ_{i} = \frac{ \displaystyle ≤ft | \overline{x}_{i} \right| p_{i}^{0} }{ \displaystyle ∑_{i=1}^{n} ≤ft| \overline{x}_{i} \right| p_{i}^{0}}
Defining the scaled netput quantities as \widetilde{x}_{i}^{t} = x_{i}^{t}\cdot p_{i}^{0} we get following formula:
θ_{i} = \frac{ \displaystyle ≤ft| \overline{ \widetilde{ x } }_{i} \right|}{ \displaystyle ∑_{i=1}^{n} ≤ft| \overline{ \widetilde{ x } }_{i} \right|}
The prices are scaled that they are unity in the base period or - if there
is more than one base period - that the
means of the prices over the base periods are unity.
The argument base
can be either
(a) a single number: the row number of the base prices,
(b) a vector indicating several observations: The means of these
observations are used as base prices,
(c) a logical vector with the same length as the data
: The
means of the observations indicated as 'TRUE' are used as base prices, or
(d) NULL
: prices are not scaled.
Arne Henningsen
1 2 3 4 5 6 7 | data( germanFarms, package = "micEcon" )
germanFarms$qOutput <- germanFarms$vOutput / germanFarms$pOutput
germanFarms$qVarInput <- -germanFarms$vVarInput / germanFarms$pVarInput
germanFarms$qLabor <- -germanFarms$qLabor
priceNames <- c( "pOutput", "pVarInput", "pLabor" )
quantNames <- c( "qOutput", "qVarInput", "qLabor" )
snqProfitWeights( priceNames, quantNames, germanFarms )
|
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