Testing near or at the Boundary of the Parameter Space ∗ ( Job Market Paper )

@inproceedings{Ketz2014TestingNO,
  title={Testing near or at the Boundary of the Parameter Space ∗ ( Job Market Paper )},
  author={Philipp Ketz},
  year={2014}
}
  • Philipp Ketz
  • Published 2014
Statistical inference about a scalar parameter is often performed using the two-sided ttest. In extremum problems, where the estimator satisfies the restrictions on the parameter space such as the nonnegativity of a variance parameter -, the test suffers from size distortions when the true parameter vector is near or at the boundary of the parameter space… CONTINUE READING