To access the full text documents, please follow this link: http://hdl.handle.net/10230/422

Technical inefficiency and public capital in US States: A stochastic frontier approach
Puig, Jaume
Universitat Pompeu Fabra. Departament d'Economia i Empresa
This paper estimates a translog stochastic frontier production function in the analysis of all 48 contiguous U.S. states in the period 1970-1983, to attempt to measure and explain changes in technical efficiency. The model allows technical inefficiency to vary over time, and inefficiency effects to be a function of a set of explanatory variables in which the level and composition of public capital plays an important role. Results indicated that U.S. state inefficiency levels were significantly and positively correlated with the ratio of public capital to private capital. The proportion of public capital devoted to highways is negatively correlated with technical inefficiency, suggesting that not only the level but also the composition of public capital influenced state efficiency.
2005-09-15
Labour, Public, Development and Health Economics
public capital productivity
technical efficiency
stochastic frontier approach
L'accés als continguts d'aquest document queda condicionat a l'acceptació de les condicions d'ús establertes per la següent llicència Creative Commons
http://creativecommons.org/licenses/by-nc-nd/3.0/es/
Working Paper
         

Show full item record

 

Coordination

 

Supporters