where the last result uses the formula for steady-state K/Y with a
Cobb-Douglas production function from equation (8).
The
Cobb-Douglas production function's results revealed that variable of age, land preparation, irrigation, fertilizer and education have positive and significant impact on revenue earned from tuberose.
However, using a parametric
Cobb-Douglas production function with composite error, they only examine the neutral and linear effect of EF on production frontier but ignore the nonneutral effects of EF on the marginal productivity of inputs.
Sher and Ahmad (2008) estimated parameters with the
Cobb-Douglas production function for wheat using input values from available resources, and also implemented the ARIMA model to forecast wheat production in Pakistan.
We used the standard real business cycle (RBC) model with a log-log utility function and
Cobb-Douglas production function. We also used the following well-known parameter values: capital share = 1/3, discount factor = 0.99, depreciation rate = 0.025, preference parameter that measures the relative weight of leisure = 2.0, persistence of technology shock = 0.9 and variance of technology shock = 0.05.
If f(*) is a
Cobb-Douglas production function, that is, f(k) = [k.sup.[alpha]], the economy always converges to the so-called steady state where the capital per capita is constant.
The study specified trans-log
Cobb-Douglas production function in two ways.
* Employing LR test for (i) production function testing (Cobb Douglas or Translog) with 5% of significant level, Null hypothesis H0:
Cobb-Douglas Production function and (ii) Hypothesis testing on whether the existing technical inefficiency with H0: There have not been technical efficiency.