Hi
I am working in the estimation of a frontier model (Stochastic Frontier Analysis: SFA). I will use the inefficiency vector but I need to linearize it.
I understand SFA is a non linear model. It may not be correct to use the vector inefficiency as another variable in a new linear model.
Thus, I need to bootstrap for the variance covariance matrix. It means to bootstrap the “whole model”.
If someone can help me, I will really appreciate it.
Kind regards
Sergio
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