Stochastic Pareto diffusion process : Statistical analysis and computational issues. Simulation and Application

Stochastic Pareto diffusion process : Statistical analysis and computational issues. Simulation and Application

Blog Article

We propose a novel diffusion process having a mean function equal to the Pareto probability density function up to a constant of proportionality.We examine the probabilistic properties of the proposed model.Then, referring to the problem of Bluetooth Hands-Free Kit statistical inference, we describe the approach employed to tackle the issue of obtaining parameter estimates by maximizing the likelihood function based on discrete sampling.This estimation reduces to solving a set of complex equations, that is accomplished using the simulated annealing algorithm.

A simulation study is also given to validate the Menopause methodology presented.Finally, using a real-world example of the Moroccan child mortality rate, we obtain the fits and forecasts by employing the suggested stochastic process and nonlinear regression model.