Artha Vijnana: Journal of The Gokhale Institute of Politics and Economics

P. Balasiddamuni , C. Subbrami Reddy , S. Ismail , K. V. S. D. P. Vara Prasad

Abstract

A simultaneous equations econometric model is specified and estimated with a generalized Cobb-Douglas production function based on three inputs namely Labour, Capital and Inventory. It is estimated by using Indirect Least Squares estimation. The impact inventory on factors of production is studied through the derived demand equations for the factors of production. Under the empirical investigation, the proposed model is estimated by using the cross section data on different industry groups in India for the year 1985-86.

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V. B. Naidu , K. N. Lankipalle , P. Balasiddamuni

Abstract

For errors in variables problem, an Adjusted Linear Estimator (ALE) of parameter vector of linear model is proposed when the true variables and errors follow different distributions under the assumption that linearity is maintained, at least approximately, in the observed variables. The main objective of this paper is to see how this ALE is useful as an estimator of the parameter vector of the linear model in non-normal case. Extensive Monte Cario Study is made using Extended Ridge Method (ERM).

From the point of view of Bias and Mean Square Error (MSE), the performance of ALE is found to be better than OLE. This paper also examines the application of an Adjusted Linear Estimator to the analysis of Farm Management Data. The problem of estimation of Errors in variables linear model is discussed for a Cobb-Douglas Production Function. The Adjusted Linear Estimates of input elasticities are computed and then compared with the corresponding Oridinary Least Squares estimates. It is also proved that the estimated variance of Adjusted Linear Estimator is smaller than that of the Oridinary Least Squares Estimator.

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P. Balasiddamuni , C. S. Reddy , M. Subbarayudu , S. Ismail

Abstract

We defined Net Social Gain (NSG) which is a function of probability of capture (p) and length of punishment (f) We identified certain equilibrium and disequilibrium structures by maximizing NSG with respect to p and f separately and hence optimal punishment is determined. The nature of Marginal Social Loss (MSL) and Marginal Social Gain (MSG) curves has been narrated, under equilibrium and disequilibrium states. A relationship between elasticities of Total Social Loss (TSL) and Total Social Gain (TSC) with respect to punishment is established.

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