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| Rrturns to scale in translog model [ Reply ] By: daniel quijano on 2017-10-10 14:39 | [forum:45378] |
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I have a doubt regarding the calculation of the returns of scale (RR) in a translog function; according to Battesse & Brocca (1997), the RE is calculated with the individual sum of the output elasticities of the factors of production. However, if I have a translog model with three production factors (length, crew, fishing time) and three dummys (months, fishing zone and year), it is necessary to sum the coefficients of the factors of production (including their quadratic terms and interactions) and also add the coefficients relative to the dummy variables? |
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