Determining the Effect of Some Biasing Parameter Selection Methods for the Two Stage Ridge Regression Estimator

The useof biased estimation techniques is inevitable in connection withmulticollinearity. Two stage ridge estimator is a pioneer biased estimatorwhich is use to recover the problems that are originated from themulticollinearity. The noteworthy issue regarding two stage ridge estimator isselection of...

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Main Authors: Selma Toker, Nimet Özbay
Format: Article
Language:English
Published: Sakarya University 2018-12-01
Series:Sakarya Üniversitesi Fen Bilimleri Enstitüsü Dergisi
Subjects:
Online Access:https://dergipark.org.tr/tr/download/article-file/551928
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author Selma Toker
Nimet Özbay
author_facet Selma Toker
Nimet Özbay
author_sort Selma Toker
collection DOAJ
description The useof biased estimation techniques is inevitable in connection withmulticollinearity. Two stage ridge estimator is a pioneer biased estimatorwhich is use to recover the problems that are originated from themulticollinearity. The noteworthy issue regarding two stage ridge estimator isselection of its biasing parameter. This article investigates several methodson selection of the biasing parameter of the two stage ridge estimator based onthe works in the literature related to ridge estimator in a linear regressionmodel. To demonstrate the best estimators of the biasing parameter, a MonteCarlo experiment is conducted. The utility of the proposed estimators of thebiasing parameter for two stage ridge estimator is observed in terms of meansquare error criterion.
format Article
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issn 2147-835X
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publishDate 2018-12-01
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series Sakarya Üniversitesi Fen Bilimleri Enstitüsü Dergisi
spelling doaj-art-ce50da9a7ef34e27868dfe57d948bc242025-08-20T01:57:40ZengSakarya UniversitySakarya Üniversitesi Fen Bilimleri Enstitüsü Dergisi2147-835X2018-12-012261878188510.16984/saufenbilder.42216828Determining the Effect of Some Biasing Parameter Selection Methods for the Two Stage Ridge Regression EstimatorSelma Toker0Nimet Özbay1CUKUROVA UNIVERSITYCUKUROVA UNIVERSITYThe useof biased estimation techniques is inevitable in connection withmulticollinearity. Two stage ridge estimator is a pioneer biased estimatorwhich is use to recover the problems that are originated from themulticollinearity. The noteworthy issue regarding two stage ridge estimator isselection of its biasing parameter. This article investigates several methodson selection of the biasing parameter of the two stage ridge estimator based onthe works in the literature related to ridge estimator in a linear regressionmodel. To demonstrate the best estimators of the biasing parameter, a MonteCarlo experiment is conducted. The utility of the proposed estimators of thebiasing parameter for two stage ridge estimator is observed in terms of meansquare error criterion.https://dergipark.org.tr/tr/download/article-file/551928biasing parametermulticollinearityridge estimatortwo stage least squares
spellingShingle Selma Toker
Nimet Özbay
Determining the Effect of Some Biasing Parameter Selection Methods for the Two Stage Ridge Regression Estimator
Sakarya Üniversitesi Fen Bilimleri Enstitüsü Dergisi
biasing parameter
multicollinearity
ridge estimator
two stage least squares
title Determining the Effect of Some Biasing Parameter Selection Methods for the Two Stage Ridge Regression Estimator
title_full Determining the Effect of Some Biasing Parameter Selection Methods for the Two Stage Ridge Regression Estimator
title_fullStr Determining the Effect of Some Biasing Parameter Selection Methods for the Two Stage Ridge Regression Estimator
title_full_unstemmed Determining the Effect of Some Biasing Parameter Selection Methods for the Two Stage Ridge Regression Estimator
title_short Determining the Effect of Some Biasing Parameter Selection Methods for the Two Stage Ridge Regression Estimator
title_sort determining the effect of some biasing parameter selection methods for the two stage ridge regression estimator
topic biasing parameter
multicollinearity
ridge estimator
two stage least squares
url https://dergipark.org.tr/tr/download/article-file/551928
work_keys_str_mv AT selmatoker determiningtheeffectofsomebiasingparameterselectionmethodsforthetwostageridgeregressionestimator
AT nimetozbay determiningtheeffectofsomebiasingparameterselectionmethodsforthetwostageridgeregressionestimator