A likelihood ratio test for bimodality in two-component mixtures with application to regional income distribution in the EU
By Hajo Holzmann, Sandra Jeanne Vollmer. 2008
51 citations recorded by the source corpus.
We propose a parametric test for bimodality based on the likelihood principle by using two-component mixtures. The test uses explicit characterizations of the modal structure of such mixtures in terms of their parameters. Examples include the univariate and multivariate normal distributions and the von Mises distribution. We present the asymptotic distribution of the proposed test and analyze its finite sample performance in a simulation study. To illustrate our method, we use mixtures to investigate the modal structure of the cross-sectional distribution of per capita log GDP across EU regions from 1977 to 1993. Although these mixtures clearly have two components over the whole time period, the resulting distributions evolve from bimodality toward unimodality at the end of the 1970s.
Subfields: Economics and Econometrics
View Paper: https://www.semanticscholar.org/paper/7c12d952971686dd115ab89d837a0137ef3aab5a
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In Economics and Econometrics
Citations in the corpus
- On the upper bound of the number of modes of a multivariate normal mixture (2012, methodology): “Additionally the results have been used for the advancement of likelihood-based inference for normal mixtures by Chen and Tan (2009), Holzmann and Vollmer (2008), Dannemann and Holzmann (2008) and Lindsay et al. (2008).”