Identification of dynamic latent factor models of skill formation with translog production
具有超越对数生产技术的动态潜在因子技能形成模型识别
Summary In this paper, we highlight an important property of the translog production function for the identification of treatment effects in a model of latent skill formation. We show that when using a translog specification of the skill technology, properly anchored treatment effect estimates are invariant to any location and scale normalizations of the underlying measures. By contrast, when researchers assume a CES production function and impose standard location and scale…