[position in research by date]
[position in research by subject]
"Methods of Estimation for Markets in Disequilibrium: A Further
(with H. H. Kelejian), Econometrica, January 1974, 177-190.
pdf file (684KB).
This paper is concerned with the problem of estimating demand and supply
schedules in disequilibrium markets. The results of Fair and Jaffee are
expanded in three ways. (1) Their directional method I is modified to
yield consistent estimates. (2) A maximum likelihood alternative to
their quantitative method is proposed. (3) The price equation is
generalized to be a multivariate, stochastic function, and a method is
proposed for estimating demand and supply schedules in this case.
This paper is an extension of my paper with D.M. Jaffee,
1972#1. It is one of many papers
from the Fair-Jaffee paper.