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st: From: "Md. Alauddin Majumder" <[email protected]>
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st: From: "Md. Alauddin Majumder" <[email protected]>
Date
Sun, 2 Mar 2014 23:41:11 -0600
Dear Statalist,
I would like to test whether the following translog production
function exhibits constant returns to scale: LnY=b0 + b1LnK + b2LnL +
b3LnK^2 + b4LnL^2 + b5LnK*LnL.
In other words, I need to test whether
(b1 + 2b3LnK + b5LnL) + (b2 + 2b4LnL + b5LnK) = 1.
Because the above expression involves variables (in addition to
coefficients), 'test' command does not work.
Any suggestion will be gratefully appreciated.
Best regards
Md. Majumder
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