Replication study uncovers computational and data discrepancies across likelihood formulations in two-tier stochastic frontier models, highlighting reproducibility challenges in econometrics.
We replicate the two foundational studies which proposed the two‐tier stochastic frontier model, first in the cross‐sectional setting and then for the fixed effects panel data model. We explore matters of software then and now, different mathematical formulations of the likelihood, and alternative current software tools. We also highlight several data issues that arose in both replications.
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Papadopoulos et al. (2026) studied this question.
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