![est(ln(yield))=lna+ b1ln(ferti) +b2ln(seed rate)
+b3ln(pesticides)
ln a=1.6061 a=4.9833
b1=.3939 b2=.2505 b3=.1165
estimated[ln(yield)]=1.6061+ .3939ln(ferti) +.2505ln(seed
rate) +.1165ln(pesticides)
estYi =4.9833 X1i.3939 X2i.2505 X3i.1165](https://image.slidesharecdn.com/cobbdouglasproductionfunctioninexcel-210524062646/85/Cobb-Douglas-production-function-in-excel-29-320.jpg)
Cobb Douglas production function in excel
- 1. Estimating COBB–Douglas Production function in Excel Pavan Kumar Thota (M.Sc. Agricultural Statistics), B.C.K.V, Kolkata, WB, INDIA
- 2. Where, Y= dependent variable X=explanatory(independent)variable a=intercept bi are regression coefficients e=2.718…………. u=error term Follows N(0,constant variance) This function is non linear in parameters so to make it linear in parameters apply ln both sides then equation looks like Yi=a X1ib1 X2ib2 X3ib3 eui lnYi=lna+ b1lnX1i +b2lnX2i +b3lnX3i+ui
- 3. Steps 1. Open Excel, Give Variable Names and Provide Data 2. Apply Logarithmic Transformation to the Data 3. Go to Data analysis 4. Get Output
- 4. 1. Open Excel , Give Variable Names and Provide Data
- 7. 2. Apply Logarithmic Transformation to the Data
- 8. Provide new columns with names as Ln(variable)
- 9. Give function to calculate logarithmic transformation of data
- 12. Go to Data menu check Data analysis tool is present or not
- 13. If your Excel does not have pre- installed Data analysis package in Data menu then do the following steps Go to File Menu Options Add-ins Manage select Excel add-ins click go select Analysis tool pack ok
- 14. FILE
- 19. Now go to the data menu to check data analysis icon
- 20. 3. Go to Data analysis
- 21. Go to Data Data analysis Regression give input Y range and X range Click OK
- 29. est(ln(yield))=lna+ b1ln(ferti) +b2ln(seed rate) +b3ln(pesticides) ln a=1.6061 a=4.9833 b1=.3939 b2=.2505 b3=.1165 estimated[ln(yield)]=1.6061+ .3939ln(ferti) +.2505ln(seed rate) +.1165ln(pesticides) estYi =4.9833 X1i.3939 X2i.2505 X3i.1165
- 30. Thank you