Beta regression in the presence of outliers - A wieldy Bayesian solution

Stat Methods Med Res. 2019 Dec;28(12):3729-3740. doi: 10.1177/0962280218814574. Epub 2018 Nov 25.

Abstract

Real phenomena often leads to challenges in data. One of these is outliers or influential values. Especially in a small sample, these values can have a major influence on the modeling process. In the beta regression framework, this issue has been addressed mainly in two ways: the assumption of a different response model and the application of a minimum density power divergence estimation (MDPDE) procedure. In this paper, however, we propose a simple hierarchical Bayesian methodology in the context of a varying dispersion beta response model that is robust to outliers, as shown through an extensive simulation study and analysis of two real data sets. To robustify Bayesian modeling, a heavy-tailed Student's t prior with uniform degrees of freedom is adopted for the regression coefficients. This proposal results in a wieldy implementation procedure which avails practical use of the approach.

Keywords: Beta regression; Student's t; heterogeneity; outlier; robust Bayes.

Publication types

  • Research Support, Non-U.S. Gov't

MeSH terms

  • Algorithms
  • Bayes Theorem*
  • Bias*
  • Models, Statistical
  • Psychology
  • Regression Analysis*
  • Research / statistics & numerical data*