Report, 2017
Exact and superlative measurement of the Luenberger-Hicks-Moorsteen productivity indicator
Ang, Frederic; Kerstens, Pieter JanAbstract
This paper shows that the Bennet-Bowley profit indicator is an exact and superlative approximation of the additively complete Luenberger-Hicks-Moorsteen productivity indicator when the input and output directional distance functions can be represented up to the second order by a quadratic functional form. It also establishes the conditions under which the exact and superlative measures of the Luenberger productivity indicator and Luenberger-Hicks-Moorsteen productivity indicator coincide.Keywords
Bennet-Bowley, difference-based indicator, total factor productivity, exact and superlative approximationPublished in
Working paper series / Swedish University of Agricultural Sciences, Department of Economics2017, number: 2017:01
Publisher: Department of Economics, Swedish University of Agricultural Sciences
Authors' information
Swedish University of Agricultural Sciences, Department of Economics
Kerstens, Pieter Jan
University of Leuven (KU Leuven)
UKÄ Subject classification
Economics
URI (permanent link to this page)
https://res.slu.se/id/publ/79464