Joint Tests for Zero Restrictions on Non-negative Regression Coefficients

Hillier, Grant (1986): Joint Tests for Zero Restrictions on Non-negative Regression Coefficients. Published in: Biometrika , Vol. 73, No. 3 (1986): pp. 657-669.

Abstract

Three tests for zero restrictions on regression coefficients that are known to be nonnegative are considered: the classical F test, the likelihood ratio test, and a one-sided t test in a particular direction. Critical values for the likelihood ratio test are given for the cases of two and three restrictions, and the power function is calculated for the case of two restrictions. The analysis is conducted in terms of a characterization of the clas all similar tests for the problem, of which each of the above tests is a member. The likelihood ratio test emerges as the preferred test.

• Item Type: MPRA Paper
• Language: English
• Keywords: Likelihood ratio test; One-sided alternative; Regression; Similar regions.
• Subjects: C - Mathematical and Quantitative Methods > C1 - Econometric and Statistical Methods and Methodology: General > C12 - Hypothesis Testing: General; C - Mathematical and Quantitative Methods > C0 - General > C01 - Econometrics

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