A Modified New Two-Parameter Estimator in a Linear Regression Model
The literature has shown that ordinary least squares estimator (OLSE) is not best when the explanatory variables are related, that is, when multicollinearity is present. This estimator becomes unstable and gives a misleading conclusion. In this study, a modified new two-parameter estimator based on...
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| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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Wiley
2019-01-01
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| Series: | Modelling and Simulation in Engineering |
| Online Access: | http://dx.doi.org/10.1155/2019/6342702 |
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| author | Adewale F. Lukman Kayode Ayinde Sek Siok Kun Emmanuel T. Adewuyi |
| author_facet | Adewale F. Lukman Kayode Ayinde Sek Siok Kun Emmanuel T. Adewuyi |
| author_sort | Adewale F. Lukman |
| collection | DOAJ |
| description | The literature has shown that ordinary least squares estimator (OLSE) is not best when the explanatory variables are related, that is, when multicollinearity is present. This estimator becomes unstable and gives a misleading conclusion. In this study, a modified new two-parameter estimator based on prior information for the vector of parameters is proposed to circumvent the problem of multicollinearity. This new estimator includes the special cases of the ordinary least squares estimator (OLSE), the ridge estimator (RRE), the Liu estimator (LE), the modified ridge estimator (MRE), and the modified Liu estimator (MLE). Furthermore, the superiority of the new estimator over OLSE, RRE, LE, MRE, MLE, and the two-parameter estimator proposed by Ozkale and Kaciranlar (2007) was obtained by using the mean squared error matrix criterion. In conclusion, a numerical example and a simulation study were conducted to illustrate the theoretical results. |
| format | Article |
| id | doaj-art-91a259d057ec41abbcb9efc84790984d |
| institution | Kabale University |
| issn | 1687-5591 1687-5605 |
| language | English |
| publishDate | 2019-01-01 |
| publisher | Wiley |
| record_format | Article |
| series | Modelling and Simulation in Engineering |
| spelling | doaj-art-91a259d057ec41abbcb9efc84790984d2025-08-20T03:37:06ZengWileyModelling and Simulation in Engineering1687-55911687-56052019-01-01201910.1155/2019/63427026342702A Modified New Two-Parameter Estimator in a Linear Regression ModelAdewale F. Lukman0Kayode Ayinde1Sek Siok Kun2Emmanuel T. Adewuyi3Department of Physical Sciences, Landmark University, Omu-Aran, NigeriaDepartment of Statistics, Federal University of Technology, Akure, NigeriaSchool of Mathematical Sciences, Universiti Sains Malaysia, MalaysiaDepartment of Statistics, Federal University of Technology, Akure, NigeriaThe literature has shown that ordinary least squares estimator (OLSE) is not best when the explanatory variables are related, that is, when multicollinearity is present. This estimator becomes unstable and gives a misleading conclusion. In this study, a modified new two-parameter estimator based on prior information for the vector of parameters is proposed to circumvent the problem of multicollinearity. This new estimator includes the special cases of the ordinary least squares estimator (OLSE), the ridge estimator (RRE), the Liu estimator (LE), the modified ridge estimator (MRE), and the modified Liu estimator (MLE). Furthermore, the superiority of the new estimator over OLSE, RRE, LE, MRE, MLE, and the two-parameter estimator proposed by Ozkale and Kaciranlar (2007) was obtained by using the mean squared error matrix criterion. In conclusion, a numerical example and a simulation study were conducted to illustrate the theoretical results.http://dx.doi.org/10.1155/2019/6342702 |
| spellingShingle | Adewale F. Lukman Kayode Ayinde Sek Siok Kun Emmanuel T. Adewuyi A Modified New Two-Parameter Estimator in a Linear Regression Model Modelling and Simulation in Engineering |
| title | A Modified New Two-Parameter Estimator in a Linear Regression Model |
| title_full | A Modified New Two-Parameter Estimator in a Linear Regression Model |
| title_fullStr | A Modified New Two-Parameter Estimator in a Linear Regression Model |
| title_full_unstemmed | A Modified New Two-Parameter Estimator in a Linear Regression Model |
| title_short | A Modified New Two-Parameter Estimator in a Linear Regression Model |
| title_sort | modified new two parameter estimator in a linear regression model |
| url | http://dx.doi.org/10.1155/2019/6342702 |
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