| snqProfitHessian {micEcon} | R Documentation |
Returns the Hessian (substitution) matrix of a Symmetric Normalized Quadratic (SNQ) Profit Function.
snqProfitHessian( beta, prices, weights, scalingFactors = rep( 1, length( weights ) ) )
beta |
matrix of the beta coefficients. |
prices |
vector of netput prices at which the Hessian should be calculated. |
weights |
vector of weights of prices for normalization. |
scalingFactors |
factors to scale prices (and quantities). |
Arne Henningsen ahenningsen@agric-econ.uni-kiel.de
snqProfitEst, snqProfitEla and
snqProfitHessianDeriv.
# just a stupid simple example
snqProfitHessian( matrix(101:109,3,3), c(1,1,1), c(0.4,0.3,0.3) )
# now with real data
data( germanFarms )
germanFarms$qOutput <- germanFarms$vOutput / germanFarms$pOutput
germanFarms$qVarInput <- -germanFarms$vVarInput / germanFarms$pVarInput
germanFarms$qLabor <- -germanFarms$qLabor
germanFarms$time <- c( 0:19 )
priceNames <- c( "pOutput", "pVarInput", "pLabor" )
quantNames <- c( "qOutput", "qVarInput", "qLabor" )
estResult <- snqProfitEst( priceNames, quantNames, c("land","time"), data=germanFarms )
estResult$hessian # the Hessian at mean prices and mean quantities
# Hessian at the last observation (1994/95)
snqProfitHessian( estResult$coef$beta, estResult$data[ 20, priceNames ],
estResult$weights, estResult$scalingFactors )