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A Non-nested Test of Separability for Flexible Functional Forms

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  • Moschini, Giancarlo

Abstract

This paper develops a separable functional form in which all the relevant aggregator functions are modeled.to the desired degree of approximation. This leads to separable structures that are more flexible than those implied by parametric restrictions of flexible functional forms. Tests of separability can then be accomplished in a nonnested framework. This approach is illustrated with an application to input-output separability for a multiproduct translog cost function using a robust likelihood ratio testing procedure. Copyright 1992 by MIT Press.

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Bibliographic Info

Article provided by MIT Press in its journal Review of Economics & Statistics.

Volume (Year): 74 (1992)
Issue (Month): 2 (May)
Pages: 365-69

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Handle: RePEc:tpr:restat:v:74:y:1992:i:2:p:365-69

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Web page: http://mitpress.mit.edu/journals/

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Cited by:
  1. Moschini, GianCarlo, 2001. "Flexible Multistage Demand System Based on Indirect Separability, A," Staff General Research Papers, Iowa State University, Department of Economics 1921, Iowa State University, Department of Economics.
  2. Rosario Crino, 2006. "Are U.S. White-Collar Really at Risk of Service Offshoring?," KITeS Working Papers, KITeS, Centre for Knowledge, Internationalization and Technology Studies, Universita' Bocconi, Milano, Italy 183, KITeS, Centre for Knowledge, Internationalization and Technology Studies, Universita' Bocconi, Milano, Italy, revised Oct 2006.

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