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California State University, San Bernardino

Journal of International Information Management

1993

Box-cox

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An Econometric Analysis Of The Desktop Computer Hardware Market, Brian D. Lynch, Frank M. Lin, Winston T. Lin, H. Raghav Rao Jan 1993

An Econometric Analysis Of The Desktop Computer Hardware Market, Brian D. Lynch, Frank M. Lin, Winston T. Lin, H. Raghav Rao

Journal of International Information Management

The purpose of this study was to compare six competing econometric models which depict the relationship between hardware characteristics and machine cost for the desktop computer market. The Box-Cox methodology and multiyear data were used to facilitate this comparison. The analysis validated that the Box-Cox methodology is a viable means for evaluating competing model formulations within the field of information systems research. The results were consistent with past research that suggested a double natural log model formulation for representing the functional relationships among variables when modeling machine cost as a function of hardware attributes. Further, the more complex power transformation …