Stochastic frontier models are typically estimated by maximum likelihood (MLE) orcorrected ordinary least squares. The consistency of either estimator depends on exogeneity of the explanatory variables (inputs, in the production frontier setting). We will investigate the case that one or more of the inputs is endogenous, in the simultaneous equation sense of endogeneity. That is, we worry that ...

abstract background: molecular imprinting is a method for synthesizing polymers with structure-selective adsorption properties with applications such as, selectivity binding, drug delivery systems and anti-bodies. the present study aims at optimizing the preparation of molecularly imprinted polymer (mip) against l-phenylalanine, in order to increase phenylalanine-binding in enzymatic intestinal...

Entertainment products such as movies, DVDs and video games have short life-cycles: demand is usually highest immediately following the product release and declines rapidly in subsequent weeks. Since marketers have to set advertising schedules for such products prior to launch, it is critical for them to obtain an accurate assessment of the demand responsiveness to advertising before any sales ...

Some empirical residential location choice models have reported dwelling-unit price estimated parameters that are small, not statistically significant, or even positive. This would imply that households are non-sensitive to changes in dwelling unit prices or location taxes, which is not only against intuition, but also makes the models useless for policy analysis. One explanation for this resul...

Endogenity or non-orthogonality in discrete choice models occurs when the systematic part of the utility is correlated with the error term. Under this misspecification, the model's estimators are inconsistent. This problem is virtually unavoidable, for example, in discrete choice models of residential choice where endogeneity occurs at the level of each observation mainly because of the omissio...

Prior to a new product launch, marketers need to infer how demand will respond to various levels of marketing mix variables in order to set an appropriate marketing plan. A critical challenge in estimating marketing mix responsiveness from historical data is that the observed decisions were affected by private information possessed by managers about the heterogeneous effects of marketing mix va...

Marketing variables included in consumer discrete choice models are often endogenous. Extant treatments using likelihood-based estimators impose parametric distributional assumptions such as normality, on the source of endogeneity. These assumptions are restrictive as misspecified distributions have an impact on parameter estimates and associated elasticities. The normality assumption for endog...