Question
Consider a model of Rice Production function: log(production) = 0 + 1fertilizer + 2irrigation + 3irrigation2 + 4log(labor) + (a) What does it mean when
Consider a model of Rice Production function:
log(production) = 0 + 1fertilizer + 2irrigation + 3irrigation2 + 4log(labor) +
(a) What does it mean when the variable fertilizer is said to be endogenous? How can such
endogeneity pose a problem in estimating the marginal effect of fertilizer?
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Managerial Economics
Authors: William F. Samuelson, Stephen G. Marks
8th edition
1118808940, 978-1119025900, 1119025907, 978-1119025924, 978-1118808948
