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Bootstrap-based tests for the total time on test order, the NBUE property, and the excess wealth order

Main:10 Pages
5 Figures
Bibliography:2 Pages
Abstract

Given a pair of non-negative random variables XX and YY, we introduce a class of nonparametric tests for the null hypothesis that XX dominates YY in the total time on test order. Critical values are determined using bootstrap-based inference, and the tests are shown to be consistent. The same approach is used to construct tests for the excess wealth order. As a byproduct, we also obtain a class of goodness-of-fit tests for the NBUE family of distributions.

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