THE SAMPLING PERFORMANCE OF INEQUALITY RESTRICTED AND PRE‐TEST ESTIMATORS IN A MIS‐SPECIFIED LINEAR MODEL

Research output: Journal Publications and ReviewsRGC 22 - Publication in policy or professional journal

14 Citations (Scopus)

Abstract

The literature on the sampling properties of the inequality restricted and pre‐test estimators typically assumes a properly specified model and focuses on the estimation of the regression coefficient vector. In this paper, we derive and evaluate the risk functions of these estimators for both the prediction vector and the disturbance variance in a model which is mis‐specified through the exclusion of relevant regressors. The results suggest that unrestricted estimation is generally preferable to pre‐testing or naively imposing restrictions. Copyright © 1994, Wiley Blackwell. All rights reserved
Original languageEnglish
Pages (from-to)313-325
JournalAustralian Journal of Statistics
Volume36
Issue number3
DOIs
Publication statusPublished - Sept 1994
Externally publishedYes

Research Keywords

  • Inequality restriction
  • mis‐specification
  • pre‐test
  • squared error loss

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