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Monday, April 11, 2016

Improved Analytic Bias Correction for MLE's

Ryan Godwin and I have a new paper - "Improved Analytic Bias Correction for Maximum Likelihood Estimators". You can download it from here. (This is a revised version, 19 July 2017.)

This paper proposes a modification of the Cox-Snell/Cordeiro-Klein bias correction technique that we've used in our earlier research (including work with Helen Feng and Jacob Schwartz). For some more information about that work, see this earlier post.

© 2016, David E. Giles

1 comment:

  1. This issue is also extensively discussed in the panel data literature, where the standard fixed effects estimator is biased/inconsistent for a fixed value of time-series observations. The estimator that you are suggesting sometimes can be also seen as the estimator that solves bias-corrected (up to O(n^{-1})) First order conditions of the ML estimator. One interesting example is a bias-corrected estimator for stationary AR(1) model with a constant term. In that case ``standard'' and ``improved'' bias-corrected estimators have closed form solutions.

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