English

On Measuring the Variability of Small Area Estimators in a Multivariate Fay-Herriot Model

Statistics Theory 2018-04-27 v1 Statistics Theory

Abstract

This paper is concerned with the small area estimation in the multivariate Fay-Herriot model where covariance matrix of random effects are fully unknown. The covariance matrix is estimated by a Prasad-Rao type consistent estimator, and the empirical best linear un- biased predictor (EBLUP) of a vector of small area characteristics is provided. When the EBLUP is measured in terms of a mean squared error matrix (MSEM), a second-order approximation of MSEM of the EBLUP and a second-order unbiased estimator of the MSEM is derived analytically in closed forms. The performance is investigated through numerical and empirical studies.

Keywords

Cite

@article{arxiv.1804.09941,
  title  = {On Measuring the Variability of Small Area Estimators in a Multivariate Fay-Herriot Model},
  author = {Tsubasa Ito and Tatsuya Kubokawa},
  journal= {arXiv preprint arXiv:1804.09941},
  year   = {2018}
}