ON THE CHOICE OF FUNCTIONAL FORMS IN THE MEASUREMENT OF SCALE AND SCOPE ECONOMIES: GENERALIZED BOX-COX AND COMPOSITE COST FUNCTIONS
No hay miniatura disponible
Fecha
Título de la revista
ISSN de la revista
Título del volumen
Editor
Resumen
Descripción
This paper estimates and compares generalized Box-Cox and composite cost functions to identify scale and scope economies. The robustness of the outcomes to different functional specifications was examined. Increasing returns to scale was common for product-specific and the overall measures. Generalized Leontief and composite forms yielded more robust elasticity, scale and scope measures. The generalized Box-Cox model was selected as the appropriate functional form as all the special cases were rejected.