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An Extension of Mixed Estimation, with an Application to Forecasting New Product Growth

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  • Kennedy, Peter

Abstract

This paper extends the mixed estimation technique to handle a case in which the coefficients of a set of linear constraints are known nonlinear functions of an unknown parameter vector for which an extraneous unbiased estimate is available. This novel form of the mixed estimation technique is illustrated by applying it to the Bass innovation/diffusion model of new product growth. It is suggested that this is superior to the traditional method whereby "managerial intuition" is incorporated into this type of model, and is an attractive alternative to recently-suggested Bayesian methods.

Suggested Citation

  • Kennedy, Peter, 1991. "An Extension of Mixed Estimation, with an Application to Forecasting New Product Growth," Empirical Economics, Springer, vol. 16(4), pages 401-415.
    • Handle: RePEc:spr:empeco:v:16:y:1991:i:4:p:401-15
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    Cited by:

    1. Brännäs, Kurt & Hellström, Jörgen, 1998. "Forecasting based on Very Small Samples and Additional Non-Sample Information," Umeå Economic Studies 472, Umeå University, Department of Economics.

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