arXiv 27 Nov 2017 · Econometrics · 3 citations (OpenAlex)
arXiv:1711.10031 · PDF · DOI · OpenAlex · Extracted main text
This paper presents the identification of heterogeneous elasticities in the Cobb-Douglas production function. The identification is constructive with closed-form formulas for the elasticity with respect to each input for each firm. We propose that the flexible input cost ratio plays the role of a control function under "non-collinear heterogeneity" between elasticities with respect to two flexible inputs. The ex ante flexible input cost share can be used to identify the elasticities with respect to flexible inputs for each firm. The elasticities with respect to labor and capital can be subsequently identified for each firm under the timing assumption admitting the functional independence.
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The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.
| Reference | Intensity | Mentions | Sections | Main text | |
|---|---|---|---|---|---|
| 1 | Ackerberg, D.A., Caves, K., and Frazer, G (2015) Identification properties of recent production function estimators | 1.000 | 12 | 4 | 100% |
| 2 | Levinsohn, J. and Petrin, A (2003) Estimating production functions using inputs to control for unobservables | 1.000 | 10 | 4 | 100% |
| 3 | Gandhi, A., Navarro, S., and Rivers, D (2017) How heterogeneous is productivity? A comparison of gross output and value added | 0.874 | 8 | 2 | 100% |
| 4 | Olley, G.S. and Pakes, A (1996) The dynamics of productivity in the telecommunications equipment industry | 0.874 | 7 | 2 | 100% |
| 5 | Doraszelski, U. and Jaumandreu, J (2015) Measuring the bias of technological change | 0.874 | 6 | 2 | 100% |
| 6 | Kasahara, H., Schrimpf, P., and Suzuki, M (2015) Identification and estimation of production function with unobserved heterogeneity | 0.874 | 5 | 2 | 100% |
| 7 | Hu, Y., Huang, G., and Sasaki, Y (2017) Estimating production functions with robustness against errors in the proxy variables self | 0.843 | 3 | 3 | 100% |
| 8 | Doraszelski, U. and Jaumandreu, J (2013) R&D and productivity: estimating endogenous productivity | 0.811 | 4 | 2 | 100% |
| 9 | Wooldridge, J.M (2009) On estimating firm-level production functions using proxy variables to control for unobservables | 0.737 | 3 | 2 | 100% |
| 10 | Balat, J. Brambilla, I., and Sasaki, Y (2016) Heterogeneous firms: skilled-labor productivity and the destination of exports | 0.585 | 3 | 1 | 100% |
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