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Constrained Maximum Likelihood

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Author Info
Schoenberg, Ronald

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Abstract

Constrained Maximum Likelihood (CML), developed at Aptech Systems, generates maximum likelihood estimates with general parametric constraints (linear or nonlinear, equality or inequality), using the sequential quadratic programming method. CML computes two classes of confidence intervals by inversion of the Wald and likelihood ratio statistics, and by simulation. The inversion techniques can produce misleading test sizes, but Monte Carlo evidence suggests this problem can be corrected under certain circumstances. Citation Copyright 1997 by Kluwer Academic Publishers.

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Publisher Info
Article provided by Springer in its journal Computational Economics.

Volume (Year): 10 (1997)
Issue (Month): 3 (August)
Pages: 251-66
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Handle: RePEc:kap:compec:v:10:y:1997:i:3:p:251-66

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Web page: http://www.springerlink.com/link.asp?id=100248

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  1. Robert F. Engle & Aaron D. Smith, 1998. "Stochastic Permanent Breaks," University of California at San Diego, Economics Working Paper Series 98-03, Department of Economics, UC San Diego. [Downloadable!]
    Other versions:
  2. P. S. Sephton, 2000. "Financial analysis package for GAUSS," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(4), pages 433-438. [Downloadable!]
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This page was last updated on 2008-8-7.


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