Parameter estimations for 2-parameter Pareto distribution by pome Academic Article uri icon

abstract

  • The principle of maximum entropy (POME) was employed to derive a new method of parameter estimation for the 2-parameter Pareto distribution. Monte Carlo simulated data were used to evaluate this method and compare it with the methods of moments (MOM), probability weighted moments (PWM), and maximum likelihood estimation (MLE). The parameter estimates yielded by POME were either superior or comparable for small sample sizes when bias and RMSE were used as the criteria, and were either comparable or adequate for large sample sizes. © 1995 Kluwer Academic Publishers.

author list (cited authors)

  • Singh, V. P., & Guo, H.

citation count

  • 15

publication date

  • June 1995