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using maximum likelihood (ML). The ML method is very sensitive to multicollinearity. Therefore, we present a new Poisson … calculate the mean squared error (MSE) using Monte Carlo simulations. The result from the simulation study shows that the PRR …
Persistent link: https://www.econbiz.de/10009150729
the random error and increasing the correlation between the independent variables have negative effect on the MSE. When … the sample size increases the MSE decreases even when the correlation between the independent variables and the variance … of the random error are large. In all situations, the proposed estimators have smaller MSE than the ordinary least …
Persistent link: https://www.econbiz.de/10009150727
performance of these new estimators are judged by calculating the mean square error (MSE) using Monte Carlo simulations. In the …
Persistent link: https://www.econbiz.de/10009645804
classical maximum likelihood (ML) method in the presence of multicollinearity since the mean squared error (MSE) of ML becomes … MSE and mean absolute error (MAE) are calculated it is shown that when the Liu estimator is applied with these proposed …
Persistent link: https://www.econbiz.de/10009225860
developed by Alkhamisi and Shukur (2008), AS, when the explanatory variables are affected by multicollinearity. Nine ridge …
Persistent link: https://www.econbiz.de/10009225861
In the entry literature, researchers sometimes use revenues as a proxy for profits because this is the only data available. Doing so could seriously bias the results.
Persistent link: https://www.econbiz.de/10005206971
A real-options approach was used, incorporating uncertainty and irreversibility of investments, to study the number of stores entering the Swedish retail food market during the period 1994-2002. It was found that uncertainty affected the entry-decision. Entry was less frequent in highly...
Persistent link: https://www.econbiz.de/10005644882
Mean Squared Error (MSE) of parameter estimators, is evaluated. …
Persistent link: https://www.econbiz.de/10010584041
induces multicollinearity problems since all non-zero values are equal between the interaction term and the regressor. In this … AIR using the mean square error (MSE) performance criterion. The result from the simulation study confirms our hypothesis … that AIR always should be preferred to OLS since it has a lower estimated MSE. Moreover, the advantages of our new method …
Persistent link: https://www.econbiz.de/10009645803
) test to a new ridge regression GC test (RRGC), in the presence of multicollinearity. The investigation has been carried out …-rejects the true null hypothesis when there are relatively high (but empirically common levels of) multicollinearity, while it is …
Persistent link: https://www.econbiz.de/10009150723