Journal of Statistical Theory and Applications

Volume 20, Issue 2, June 2021, Pages 407 - 424

Preference of Prior for Two-Component Mixture of Lomax Distribution

Authors
Faryal Younis1, Muhammad Aslam2, M. Ishaq Bhatti3, *, ORCID
1 School of Applied Sciences and Humanities, National University of Technology, Islamabad, Pakistan
2 Department of Mathematics and Statistics, Riphah International University, Islamabad, Pakistan
3 La Trobe University, Melbourne, Australia
*Corresponding author. Email: i.bhatti@latrobe.edu.au
Corresponding Author
M. Ishaq Bhatti
Received 26 September 2020, Accepted 16 June 2021, Available Online 24 June 2021.
DOI
https://doi.org/10.2991/jsta.d.210616.002How to use a DOI?
Keywords
Mixture of Lomax distribution, Censored sampling, Elicitation of hyperparameter, Bayes estimator, Posterior risk, Loss function
Abstract

Recently, El-Sherpieny et al., (2020), suggested Type-II hybrid censoring method for parametric estimation of Lomax distribution (LD) without due regard being given to the choice of priors and posterior risk associated with the model. This paper fills this gap and derived the new LD model with minimum posterior risk for the selection of priors. It derives a closed form expression for Bayes estimates and posterior risks using square error loss function (SELF), weighted loss function (WLF), quadratic loss function (QLF) and DeGroot loss function (DLF). Prior predictive approach is used to elicit the hyperparameters of mixture model. Analysis of Bayes estimates and posterior risks is presented in terms of sample size n, mixing proportion p and censoring rate t0, with the help of simulation study. Usefulness of the model is demonstrated on applying it to simulated and real-life data which show promising results in terms of better estimation and risk reduction.

Copyright
© 2021 The Authors. Published by Atlantis Press B.V.
Open Access
This is an open access article distributed under the CC BY-NC 4.0 license (http://creativecommons.org/licenses/by-nc/4.0/).

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Journal
Journal of Statistical Theory and Applications
Volume-Issue
20 - 2
Pages
407 - 424
Publication Date
2021/06/24
ISSN (Online)
2214-1766
ISSN (Print)
1538-7887
DOI
https://doi.org/10.2991/jsta.d.210616.002How to use a DOI?
Copyright
© 2021 The Authors. Published by Atlantis Press B.V.
Open Access
This is an open access article distributed under the CC BY-NC 4.0 license (http://creativecommons.org/licenses/by-nc/4.0/).

Cite this article

TY  - JOUR
AU  - Faryal Younis
AU  - Muhammad Aslam
AU  - M. Ishaq Bhatti
PY  - 2021
DA  - 2021/06/24
TI  - Preference of Prior for Two-Component Mixture of Lomax Distribution
JO  - Journal of Statistical Theory and Applications
SP  - 407
EP  - 424
VL  - 20
IS  - 2
SN  - 2214-1766
UR  - https://doi.org/10.2991/jsta.d.210616.002
DO  - https://doi.org/10.2991/jsta.d.210616.002
ID  - Younis2021
ER  -