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SUMMARY:Detecting Changes in Production Frontier and Beyond - Yining Chen 
 (LSE)
DTSTART:20250613T130000Z
DTEND:20250613T140000Z
UID:TALK231526@talks.cam.ac.uk
CONTACT:Qingyuan Zhao
DESCRIPTION:In this talk\, we first give a brief review of the nonparametr
 ic estimation problem of production frontier function\, which concerns the
  maximum possible output given input levels and the efficiency of the firm
 s. We then look at how multiple changes over time in the production fronti
 er can be detected. By assuming that the frontier always shifts upwards ov
 er time\, which is plausible thanks to the advance in technologies\, we ca
 n detect changes in the frontier at the near-optimal rate under regularity
  conditions\, irrelevant of the dimensionality of the input. This can be a
 chieved by modifying and utilising the well-known Free Disposal Hull (FDH)
  or Data Envelopment Analysis (DEA) algorithm in different ways\, dependin
 g on whether the shift is local or global. Finally\, we discuss how the co
 nfidence intervals for both the location of the change and the frontier ca
 n be constructed. For the latter\, we also illustrate how nuisance paramet
 ers in the limit distribution can be eliminated by taking advantage of the
  structure of the FDH\, and demonstrate how this idea can be useful for ot
 her problems such as testing the shape of the frontier.
LOCATION:MR12\, Centre for Mathematical Sciences
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