Stochastic Efficiency Measurement: The Curse of Theoretical Consistency

By Johannes Sauer, K. Frohberg, H. Hockmann. 2006

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Imposing regional monotonicity on translog stochastic production frontiers with a simple three-step procedure (2009, background): “Many empirical applications of SFA present results in which the monotonicity condition is not fulfilled, despite its importance (Sauer et al. 2006).”
Technical Efficiency among Peasant Farmers Participating in Natural Resource Management Programmes in Central America (2009, methodology): “Furthermore, in order to qualify as a well-behaved model, the ISDF needs to be non-decreasing in inputs and decreasing in outputs (Färe et al., 1994; Sauer et al., 2006).”
The impact of integrated aquaculture-agriculture on small-scale farms in Southern Malawi (2010, background): “, β i ≥ 0) indicating that the estimated function is globally consistent (Sauer et al., 2006).”