Kalaba, Robert E.; Tesfatsion, Leigh

Journal of Optimization Theory and Applications Vol. 60 no. 3 (1989): 421-438.

A "flexible least cost method" is proposed for investigating the basic compatibility of theory and observations in the absence of valid or known stochastic characterizations for residual error terms. Annotated pointers to related work can be accessed here: http://www.econ.iastate.edu/tesfatsi/flshome.htm

JEL Classification: C1, C3, C5