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• W2898818720 abstract "Insurance and economic data are often positive, and we need to take into account this peculiarity in choosing a statistical model for their distribution. An example is the inverse Gaussian (IG), which is one of the most famous and considered distributions with positive support. With the aim of increasing the use of the IG distribution on insurance and economic data, we propose a convenient mode-based parameterization yielding the reparametrized IG (rIG) distribution; it allows/simplifies the use of the IG distribution in various branches of statistics, and we give some examples. In nonparametric statistics, we define a smoother based on rIG kernels. By construction, the estimator is well-defined and does not allocate probability mass to unrealistic negative values. We adopt likelihood cross-validation to select the smoothing parameter. In robust statistics, we propose the contaminated IG distribution, a heavy-tailed generalization of the rIG distribution to accommodate mild outliers. Finally, for model-based clustering and semiparametric density estimation, we present finite mixtures of rIG distributions. We use the EM algorithm to obtain maximum likelihood estimates of the parameters of the mixture and contaminated models. We use insurance data about bodily injury claims, and economic data about incomes of Italian households, to illustrate the models." @default.
• W2898818720 created "2018-11-09" @default.
• W2898818720 creator A5009939605 @default.
• W2898818720 date "2018-11-03" @default.
• W2898818720 modified "2023-09-25" @default.
• W2898818720 title "A new look at the inverse Gaussian distribution with applications to insurance and economic data" @default.
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• W2898818720 doi "https://doi.org/10.1080/02664763.2018.1542668" @default.
• W2898818720 hasPublicationYear "2018" @default.
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