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Parameters of the mathematical model describing many practical dynamical systems are prone to vary due to aging or renewal, wear and tear, as well as changes in environmental or service conditions. These variabilities will adversely affect…

Systems and Control · Electrical Eng. & Systems 2022-07-13 Hang Geng , Mulugeta A. Haile , Huazhen Fang

The prevalence of spatially referenced multivariate data has impelled researchers to develop a procedure for the joint modeling of multiple spatial processes. This ordinarily involves modeling marginal and cross-process dependence for any…

Methodology · Statistics 2020-07-10 Ghulam A. Qadir , Ying Sun

Classical solvable stochastic volatility models (SVM) use a CEV process for instantaneous variance where the CEV parameter $\gamma$ takes just few values: 0 - the Ornstein-Uhlenbeck process, 1/2 - the Heston (or square root) process, 1-…

Pricing of Securities · Quantitative Finance 2012-07-03 Andrey Itkin

Bayesian analysis of state-space models includes computing the posterior distribution of the system's parameters as well as filtering, smoothing, and predicting the system's latent states. When the latent states wander around $\mathbb{R}^n$…

Methodology · Statistics 2013-12-24 Jesse Windle , Carlos M. Carvalho

The log-logistic regression model is one of the most commonly used accelerated failure time (AFT) models in survival analysis, for which statistical inference methods are mainly established under the frequentist framework. Recently,…

Methodology · Statistics 2023-10-11 Chengqian Xian , Camila P. E. de Souza , Wenqing He , Felipe F. Rodrigues , Renfang Tian

Normal mean-variance mixture distributions are widely applied to simplify a model's implementation and improve their computational efficiency under the Maximum Likelihood (ML) approach. Especially for distributions with normal mean-variance…

Methodology · Statistics 2015-06-18 Thanakorn Nitithumbundit , Jennifer S. K. Chan

Variable selection remains a difficult problem, especially for generalized linear mixed models (GLMMs). While some frequentist approaches to simultaneously select joint fixed and random effects exist, primarily through the use of…

Methodology · Statistics 2024-12-03 Feng Ding , Ian Laga

We study system design problems stated as parameterized stochastic programs with a chance-constraint set. We adopt a Bayesian approach that requires the computation of a posterior predictive integral which is usually intractable. In…

Machine Learning · Statistics 2020-01-07 Prateek Jaiswal , Harsha Honnappa , Vinayak A. Rao

The Gaussian Graphical Model (GGM) is a popular tool for incorporating sparsity into joint multivariate distributions. The G-Wishart distribution, a conjugate prior for precision matrices satisfying general GGM constraints, has now been in…

Computation · Statistics 2012-05-15 Yuan Cheng , Alex Lenkoski

We investigate the problem of computing a nested expectation of the form $\mathbb{P}[\mathbb{E}[X|Y] \!\geq\!0]\!=\!\mathbb{E}[\textrm{H}(\mathbb{E}[X|Y])]$ where $\textrm{H}$ is the Heaviside function. This nested expectation appears, for…

Computational Finance · Quantitative Finance 2019-02-15 Michael B. Giles , Abdul-Lateef Haji-Ali

The multivariate probit is popular for modeling correlated binary data, with an attractive balance of flexibility and simplicity. However, considerable challenges remain in computation and in devising a clear statistical framework. Interest…

Methodology · Statistics 2020-04-22 Bryan W. Ting , Fred A. Wright , Yi-Hui Zhou

We propose a fast inference method for Bayesian nonlinear support vector machines that leverages stochastic variational inference and inducing points. Our experiments show that the proposed method is faster than competing Bayesian…

Machine Learning · Statistics 2018-03-22 Florian Wenzel , Theo Galy-Fajou , Matthaeus Deutsch , Marius Kloft

A mean field variational Bayes approach to support vector machines (SVMs) using the latent variable representation on Polson & Scott (2012) is presented. This representation allows circumvention of many of the shortcomings associated with…

Methodology · Statistics 2013-05-14 Jan Luts , John T. Ormerod

Several studies explore inferences based on stochastic volatility (SV) models, taking into account the stylized facts of return data. The common problem is that the latent parameters of many volatility models are high-dimensional and…

Statistical Finance · Quantitative Finance 2018-09-06 T. R. Santos

We propose a new variational approximation of the joint posterior distribution of the log-volatility in the context of large Bayesian VARs. In contrast to existing approaches that are based on local approximations, the new proposal provides…

Econometrics · Economics 2022-06-20 Joshua C. C. Chan , Xuewen Yu

Variational Bayesian (VB) methods produce posterior inference in a time frame considerably smaller than traditional Markov Chain Monte Carlo approaches. Although the VB posterior is an approximation, it has been shown to produce good…

Computation · Statistics 2019-08-02 Nathaniel Tomasetti , Catherine S. Forbes , Anastasios Panagiotelis

We consider Bayesian tensor vector autoregressions (TVARs) in which the VAR coefficients are arranged as a three-dimensional array or tensor, and this coefficient tensor is parameterized using a low-rank CP decomposition. We develop a…

Econometrics · Economics 2024-09-25 Joshua C. C. Chan , Yaling Qi

In multivariate time series, the estimation of the covariance matrix of the observation innovations plays an important role in forecasting as it enables the computation of the standardized forecast error vectors as well as it enables the…

Methodology · Statistics 2008-02-04 K. Triantafyllopoulos

We develop a variational Bayesian (VB) approach for estimating large-scale dynamic network models in the network autoregression framework. The VB approach allows for the automatic identification of the dynamic structure of such a model and…

Methodology · Statistics 2021-02-19 Wei-Ting Lai , Ray-Bing Chen , Ying Chen , Thorsten Koch

In this paper, We propose a new style panel data factor stochastic volatility model with observable factors and unobservable factors based on the multivariate stochastic volatility model, which is mainly composed of three parts, such as the…

Methodology · Statistics 2019-04-09 Guobin Fang , Huimin Ma , Michelle Xia , Bo Zhang