micEcon (version 0.5-22)

translogCheckMono: Monotonicity of a Translog Function

Description

Check monotonicity of a translog function.

Usage

translogCheckMono( xNames, data, coef, increasing = TRUE,
   strict = FALSE, quadHalf = TRUE, dataLogged = FALSE,
   tol = 10 * .Machine$double.eps )
## S3 method for class 'translogCheckMono':
print( x, \dots )
## S3 method for class 'translogCheckMono':
summary( object, \dots )
## S3 method for class 'summary.translogCheckMono':
print( x, \dots )

Arguments

xNames

a vector of strings containing the names of the independent variables.

data

dataframe containing the data.

coef

vector containing all coefficients.

increasing

logical. Check whether the function is monotonically increasing (default, TRUE) or decreasing (FALSE)?

strict

logical. Check for strict (TRUE) or non-strict (default, FALSE) monotonicity?

quadHalf

logical. Multiply the quadratic terms by one half?

dataLogged

logical. Are the values in data already logged?

tol

tolerance level for checking non-strict monotonicity: values between -tol and tol are considered to be zero (ignored if argument strict is TRUE).

x

an object returned by translogCheckMono or by summary.translogCheckMono.

object

an object returned by translogCheckMono.

...

currently not used.

Value

• translogCheckMono returns a list of class translogCheckMono containing following objects:
• obs
  a vector indicating whether monotonicity is fulfilled at each observation.
• exog
  data frame indicating whether monotonicity is fulfilled for each exogenous variable at each observation.
• increasing
  argument increasing.
• strict
  argument strict.

See Also

translogEst, translogDeriv, and translogCheckCurvature

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)

   # estimate a translog production function
   estResult <- translogEst( "qOutput", c( "qLabor", "land", "qVarInput", "time" ),
      germanFarms )

   # check whether the production function is monotonically increasing
   translogCheckMono( c( "qLabor", "land", "qVarInput", "time" ),
      germanFarms, coef( estResult ) )