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Pairwise likelihood approach to grouped continuous model and its extension

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Author Info
de Leon, A.R.
Abstract

A pseudo-likelihood estimation method for the grouped continuous model and its extension to mixed ordinal and continuous data is proposed as an alternative to maximum likelihood estimation. The method, based on the pairwise likelihood approach, advocates simply pooling marginal pairwise likelihoods to approximate the full likelihood. In addition to being consistent and asymptotically normally distributed, maximum pairwise likelihood estimates are computationally simple to obtain. Simulations show that the estimates are quite accurate, yielding minimal bias and small root mean-squared errors. The methodology is illustrated using real-data examples.

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File URL: http://www.sciencedirect.com/science/article/B6V1D-4GJV956-4/2/8c3b8f892e87e1afde00842326d3d662
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Publisher Info
Article provided by Elsevier in its journal Statistics & Probability Letters.

Volume (Year): 75 (2005)
Issue (Month): 1 (November)
Pages: 49-57
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Handle: RePEc:eee:stapro:v:75:y:2005:i:1:p:49-57

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Related research
Keywords: Composite likelihood Mixed data Multivariate ordinal data Partition maximum likelihood Polychoric and polyserial correlations;

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  1. Robert F. Engle & Neil Shephard & Kevin Sheppard, 2008. "Fitting vast dimensional time-varying covariance models," Economics Series Working Papers 403, University of Oxford, Department of Economics. [Downloadable!]
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