Linton, Oliver; Song, Kyungchul; Whang, Yoon-Jae - Cowles Foundation for Research in Economics, Yale University - 2009
We propose a new method of testing stochastic dominance that improves on existing tests based on the standard bootstrap … or subsampling. The method admits prospects involving infinite as well as finite dimensional unknown parameters, so that … the variables are allowed to be residuals from nonparametric and semiparametric models. The proposed bootstrap tests have …