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st: question on xtfrontier command: Does STATA do automatic log transformation for cost or output?


From   xiaodong cai <[email protected]>
To   [email protected]
Subject   st: question on xtfrontier command: Does STATA do automatic log transformation for cost or output?
Date   Mon, 20 Dec 2004 15:36:14 -0500

Greetings!

I am running a stochastic cost and production frontier models, using
the "xtfrontier" command. Does STATA automatically log-transform the
cost variable (the outcome) or I have to log- transform it first into
"ln(cost)" and then run "xtfrontier"? How does it work for the
production function with log tranformation of production?

Many thanks!

Xiaodong
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