【Title】: Application of Bilateral Stochastic Frontier in Industrial Economy
【Speaker】Prof Zhou Jichen
【Time】14:30 p.m., Thursday, 14 November 2019
【Venue】Room A302, NBS
Clip teaching: Financial Risk Management
Abstract: The following phenomena are frequently observed in the labor economic market: employees who get the same human capital training and academic qualifications receive different remuneration in the market. Labor economics points out there are gaps between salary information among employees in the bilateral market, which refers as Information Ignorance. This study makes the an attempt to find out how to measure the asymmetric bilateral information based on Polachek and Yoon (1987) and develops bilateral stochastic frontier model, current domestic academic model and their applications on energy investment, export commodities, foreign investment, IPO pricing, companies' investment efficiency and rural lending. Finally, a summary is made through empirical research on professional athletes' salaries and housing price differentiation in China.