Electricity1970 {AER} | R Documentation

## Cost Function of Electricity Producers 1970

### Description

Cross-section data, at the firm level, on electric power generation.

### Usage

    data("Electricity1970")

### Format

A data frame containing 158 cross-section observations on 9 variables.

cost

  total cost.

output

  total output.

labor

  wage rate.

laborshare

  cost share for labor.

capital

  capital price index.

capitalshare

  cost share for capital.

fuel

  fuel price.

fuelshare

  cost share for fuel.

### Details

The data are from Christensen and Greene (1976) and pertain to the year 1970. However, the file contains some extra observations, the holding companies. Only the first 123 observations are needed to replicate Christensen and Greene (1976).

### Source

Online complements to Greene (2003), Table F5.2.

http://pages.stern.nyu.edu/~wgreene/Text/tables/tablelist5.htm

### References

Christensen, L. and Greene, W.H. (1976). Economies of Scale in U.S. Electric Power Generation. Journal of Political Economy, 84, 655–676.

Greene, W.H. (2003). Econometric Analysis, 5th edition. Upper Saddle River, NJ: Prentice Hall.

### See Also

`Greene2003`, `Electricity1955`

### Examples

    data("Electricity1970")

    ## Greene (2003), Ex. 5.6: a generalized Cobb-Douglas cost function
    fm <- lm(log(cost/fuel) ~ log(output) + I(log(output)^2/2) +
      log(capital/fuel) + log(labor/fuel), data=Electricity1970[1:123,])

[Package AER version 1.2-5 Index]