Research Reports from the Department of Operations
Document Type
Report
Publication Date
1-1-1965
Abstract
The problem posed in this paper is a familiar one; estimation of unknown functional parameters in simple linear error models in which two unobservable variables Y and X are related exactly in a linear form but pairs of observations Y and X are scattered along the true line due to observational errors v and u. It is seen from the existing literature that this problem has been treated either by non-classical methods such as the method of grouping of observation and the method of instrumental variable or by the classical approach, e.g. maximum likelihood method with the assumption that the error variance ratio is known in advance. The purpose of this paper is to present alternative estimators in addition to the maximum likelihood estimators suggested by Klein and Johnston and evaluate them using some meaningful criteria. The number of the estimators considered in this paper is five in all. [Likely published circa 1965.]
Keywords
Operations research, Estimation theory, Linear models (Statistics), Errors-in-variables models, Parameter estimation, Regression analysis, Mathematical statistics
Publication Title
Technical Memorandums from the Department of Operations, School of Management, Case Western Reserve University
Issue
Technical memorandum no. 42
Rights
This work is in the public domain and may be freely downloaded for personal or academic use
Recommended Citation
Kuratani, Yoshiro and Chidambaram, T.S., "Estimation of Functional Parameters in Simple Linear Econometric Error Models (Part 1)" (1965). Research Reports from the Department of Operations. 188.
https://commons.case.edu/wsom-ops-reports/188