Hausman (1978) developed a widely-used model specification test that has passed the test of time. The test is based on two estimators, one being consistent under the null hypothesis but inconsistent under the alternative, and the other being consistent under both the null and alternative...

The Box-Cox (1964) transformation model is widely used in various fields of econometrics and statistics. Generally, the maximum likelihood estimator under the normality assumption (BC MLE) is used. However, the BC MLE is not consistent under heteroscedasticity, even if the “small...

The Box-Cox (1964) transformation model (BC model) is widely used to examine various problems. The likelihood function under the normality assumption is misspecified, and the maximum likelihood estimator (BC MLE) cannot in general be consistent. However, under the “small sigma” assumption...

The length of stay and the effectiveness of medical treatment are analyzed using data from patients hospitalized for hip fractures in Japan. The influence of the Revision of the Medical Service Fee Schedule in April 2002 is evaluated, and factors which may affect the length of stay and the...

We analyze the length of hospital stays of patients hospitalized for cataract and related diseases (Diagnosis Related Groups (DRG) 2041) in Japan, utilizing the data pertaining to 3436 patients on whom one-eye lens operations are performed. We use the discrete-type proportional hazard model to...