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Robust Monitoring of a Conditional Distribution in Economic Data Streams Using Statistical Depth Functions

Authors:
Daniel Kosiorowski

Keywords: data stream; robust procedure; depth function

Abstract:
Estimation of a conditional distribution is a building block of a variety of statistical procedures used in the modern economics. This estimation is especially difficult in case of an economic data stream, i.e., when data are generated by the multidimensional non-stationary process of unknown form which may contain outliers. In this paper we propose a novel approach for robust monitoring conditional and unconditional distributions in the data streams. Our proposals are based on the idea of adjusted Nadaraya-Watson estimator proposed by Hall et. all (1999) and they appeal to the so called data depth concept. We show very promising statistical properties of our proposals in cases of selected linear and nonlinear data streams models.

Pages: 28 to 31

Copyright: Copyright (c) IARIA, 2013

Publication date: April 21, 2013

Published in: conference

ISSN: 2308-3700

ISBN: 978-1-61208-268-4

Location: Venice, Italy

Dates: from April 21, 2013 to April 26, 2013