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Many management decisions involve accumulated random realizations for which only the first and second moments of their distribution are available. The sharp Chebyshev-type bound for the tail probability and Scarf bound for the expected loss…

Econometrics · Economics 2025-05-15 Zhaolin Li , Artem Prokhorov

The authors announce a general tail estimate, called a decoupling inequality, for a symmetrized sum of non-linear $k$-correlations of $n>k$ independent random variables.

Functional Analysis · Mathematics 2016-09-06 Victor H. de la Peña , Stephen J. Montgomery-Smith

We study high-dimensional signal recovery from non-linear measurements with design vectors having elliptically symmetric distribution. Special attention is devoted to the situation when the unknown signal belongs to a set of low statistical…

Statistics Theory · Mathematics 2016-11-14 Larry Goldstein , Stanislav Minsker , Xiaohan Wei

This paper introduces a new distribution to improve tail risk modeling. Based on the classical normal distribution, we define a new distribution by a series of heat equations. Then, we use market data to verify our model.

Statistics Theory · Mathematics 2013-04-08 Xiaolin Gong , Shuzhen Yang

Expected shortfall is defined as the average over the tail below (or above) a certain quantile of a probability distribution. Expected shortfall regression provides powerful tools for learning the relationship between a response variable…

Methodology · Statistics 2025-01-03 Shushu Zhang , Xuming He , Kean Ming Tan , Wen-Xin Zhou

This article studies tail behavior for the error components in the stochastic frontier model, where one component has bounded support on one side, and the other has unbounded support on both sides. Under weak assumptions on the error…

Econometrics · Economics 2020-06-16 William , C. Horrace , Yulong Wang

In this paper we present a tail inequality for the maximum of partial sums of a weakly dependent sequence of random variables that are not necessarily bounded. The class considered includes geometrically and subgeometrically strongly mixing…

Probability · Mathematics 2009-02-04 Florence Merlevède , Magda Peligrad , Emmanuel Rio

This paper contributes to answering a question that is of crucial importance in risk management and extreme value theory: How to select the threshold above which one assumes that the tail of a distribution follows a generalized Pareto…

Methodology · Statistics 2020-01-27 Ingo Hoffmann , Christoph J. Börner

Many measures of peakedness, heavy-tailedness and kurtosis have been proposed in the literature, mainly because kurtosis, as originally defined, is a complex combination of the other two concepts. Insight into all three concepts can be…

Statistics Theory · Mathematics 2017-02-01 R. G Staudte

Consider the task of generating samples from a tilted distribution of a random vector whose underlying distribution is unknown, but samples from it are available. This finds applications in fields such as finance and climate science, and in…

Often, it is required to estimate the probability that a quantity such as toxicity level, plutonium, temperature, rainfall, damage, wind speed, wave size, earthquake magnitude, risk, etc., exceeds an unsafe high threshold. The probability…

Methodology · Statistics 2019-07-24 Benjamin Kedem , Lemeng Pan , Paul Smith , Chen Wang

Nowadays in density estimation, posterior rates of convergence for location and location-scale mixtures of Gaussians are only known under light-tail assumptions; with better rates achieved by location mixtures. It is conjectured, but not…

Statistics Theory · Mathematics 2016-08-24 Zacharie Naulet , Judith Rousseau

The tail index, indicating the degree of fatness of the tail distribution, is an important component of extreme value theory since it dominates the asymptotic distribution of extreme values such as the sample maximum. In this paper, we…

Statistics Theory · Mathematics 2009-06-12 Moosup Kim , Sangyeol Lee

Heavy tailed distributions present a tough setting for inference. They are also common in industrial applications, particularly with Internet transaction datasets, and machine learners often analyze such data without considering the biases…

Applications · Statistics 2016-10-14 Matt Taddy , Hedibert Freitas Lopes , Matt Gardner

Over the past two decades, shrinkage priors have become increasingly popular, and many proposals can be found in the literature. These priors aim to shrink small effects to zero while maintaining true large effects. Horseshoe-type priors…

Statistics Theory · Mathematics 2025-01-14 Maria De Iorio , Andreas Heinecke , Beatrice Franzolini , Rafael Cabral

The multivariate inverse hypergeometric (MIH) distribution is an extension of the negative multinomial (NM) model that accounts for sampling without replacement in a finite population. Even though most studies on longitudinal count data…

Statistics Theory · Mathematics 2024-08-01 Frédéric Ouimet

In a sparse stochastic block model with two communities of unequal sizes we derive two posterior concentration inequalities, that imply (1) posterior (almost-)exact recovery of the community structure under sparsity bounds comparable to…

Statistics Theory · Mathematics 2021-08-17 B. J. K. Kleijn , J. van Waaij

In this work, we provide robust bounds on the tail probabilities and the tail index of heavy-tailed distributions in the context of model misspecification. They are defined as the optimal value when computing the worst-case tail behavior…

Statistics Theory · Mathematics 2021-06-14 Corina Birghila , Maximilian Aigner , Sebastian Engelke

Modeling and predicting extreme movements in GDP is notoriously difficult and the selection of appropriate covariates and/or possible forms of nonlinearities are key in obtaining precise forecasts. In this paper, our focus is on using large…

Econometrics · Economics 2023-09-25 Jan Prüser , Florian Huber

We study the problems related to the estimation of the Gini index in presence of a fat-tailed data generating process, i.e. one in the stable distribution class with finite mean but infinite variance (i.e. with tail index $\alpha\in(1,2)$).…

Methodology · Statistics 2018-05-02 Andrea Fontanari , Nassim Nicholas Taleb , Pasquale Cirillo
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