Likelihood distortion and Bayesian local robustness

Fuente: arXiv
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Autores principales: Di Noia, Antonio, Ruggeri, Fabrizio, Mira, Antonietta
Formato: Preprint
Publicado: 2024
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author Di Noia, Antonio
Ruggeri, Fabrizio
Mira, Antonietta
author_facet Di Noia, Antonio
Ruggeri, Fabrizio
Mira, Antonietta
contents Robust Bayesian analysis has been mainly devoted to detecting and measuring robustness w.r.t. the prior distribution. Many contributions in the literature aim to define suitable classes of priors which allow the computation of variations of quantities of interest while the prior changes within those classes. The literature has devoted much less attention to the robustness of Bayesian methods w.r.t. the likelihood function due to mathematical and computational complexity, and because it is often arguably considered a more objective choice compared to the prior. In this contribution, we propose a new approach to Bayesian local robustness, mainly focusing on robustness w.r.t. the likelihood function. Successively, we extend it to account for robustness w.r.t. the prior, as well as the prior and the likelihood jointly. This approach is based on the notion of distortion function introduced in the literature on risk theory. The novel robustness measure is a local sensitivity measure that turns out to be very tractable and easy to compute for several classes of distortion functions. Asymptotic properties are derived, and numerical experiments illustrate the theory and its applicability for modelling purposes.
format Preprint
id arxiv_https___arxiv_org_abs_2405_15141
institution arXiv
publishDate 2024
record_format arxiv
spellingShingle Likelihood distortion and Bayesian local robustness
Di Noia, Antonio
Ruggeri, Fabrizio
Mira, Antonietta
Statistics Theory
Methodology
Robust Bayesian analysis has been mainly devoted to detecting and measuring robustness w.r.t. the prior distribution. Many contributions in the literature aim to define suitable classes of priors which allow the computation of variations of quantities of interest while the prior changes within those classes. The literature has devoted much less attention to the robustness of Bayesian methods w.r.t. the likelihood function due to mathematical and computational complexity, and because it is often arguably considered a more objective choice compared to the prior. In this contribution, we propose a new approach to Bayesian local robustness, mainly focusing on robustness w.r.t. the likelihood function. Successively, we extend it to account for robustness w.r.t. the prior, as well as the prior and the likelihood jointly. This approach is based on the notion of distortion function introduced in the literature on risk theory. The novel robustness measure is a local sensitivity measure that turns out to be very tractable and easy to compute for several classes of distortion functions. Asymptotic properties are derived, and numerical experiments illustrate the theory and its applicability for modelling purposes.
title Likelihood distortion and Bayesian local robustness
topic Statistics Theory
Methodology
url https://arxiv.org/abs/2405.15141