RDP 2018-08: Econometric Perspectives on Economic Measurement Equation (E5)

ln (\frac{\sum_{v} p_{2 v}}{\sum_{v} p_{1 v}}) = \sum_{v} (\frac{l (\frac{p_{2 v}}{{\bar{p}}_{2 v}}, \frac{p_{1 v}}{{\bar{p}}_{1 v}})}{\sum_{v} l (\frac{p_{2 v}}{{\bar{p}}_{2 v}}, \frac{p_{1 v}}{{\bar{p}}_{1 v}})}) ln (\frac{p_{2 v}}{p_{1 v}})