micEcon (version 0.5-22)

elas.npregHom: Elasticities of a Homogeneous Nonparametric Function

Description

Calculate elasticities from a nonparametric regression with homogeneity of degree zero imposed on some variables.

Usage

## S3 method for class 'npregHom':
elas( object, data = NULL, yObs = FALSE, ... )

Arguments

object

object of class npregHom (returned by npregHom).

data

dataframe or a vector with named elements containing the data; if it is not specified, the data frame that was used for the nonparametric estimation is used for calculating elasticities.

yObs

logical. Use observed values of the andogenous variable. If FALSE (default) fitted values are used.

...

currently ignored.

Value

• A data.frame, where each column corresponds to one of the continuous independent variables.

See Also

npregHom.

Examples

data( germanFarms )
   # output quantity:
   germanFarms$qOutput <- germanFarms$vOutput / germanFarms$pOutput
   # quantity of variable inputs
   germanFarms$qVarInput <- germanFarms$vVarInput / germanFarms$pVarInput
   # a time trend to account for technical progress:
   germanFarms$time <- c(1:20)

   # weights to impose
   weights <- c(
      pOutput = mean( germanFarms$qOutput ),
      pVarInput = mean( germanFarms$qVarInput ),
      pLabor = mean( germanFarms$qLabor ) )
   weights <- weights / sum( weights )

   # estimate an input demand function
   estResult <- npregHom( "qVarInput",
      xNames = c( "pOutput", "pVarInput", "pLabor", "land" ),
      data = germanFarms, homWeights = weights )

   # calculate elasticities
   elas( estResult )