UW-Madison UW-Madison

Staff Paper No. 372 - Abstract

A Primal-Dual Approach to Nonparametric Productivity Analysis: the Case of U.S. Agriculture

Jean-Paul Chavas [jpchavas@wisc.edu]
Thomas L. Cox [tlcox@wisc.edu]

Staff Paper No. 372, February 1994, 27p.


Nonparametric methods for measuring productivity indexes based on bounds for the underlying production technology are presented. Following Banker and Maindiratta, the lower bound is obtained from a primal approach while the upper bound corresponds to a dual approach to nonparametric production analysis. These nonparametric bounds are then used to estimate input-based and output-based distance functions. These radial measures provide the basis for measuring productivity indexes. Application to times series data and dual upper bound. This generates striking differences between primal and dual nonparametric productivity indexes.
Last updated on Thu, Jun 2, 2005 1:29pm