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Testing the rate ratio under inverse sampling based on gradient statistic

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  • Cuizhen Niu
  • Qiang Xia

Abstract

Inverse sampling is widely applied in studies with dichotomous outcomes, especially when the subjects arrive sequentially or the response of interest is difficult to obtain. In this paper, we investigate the rate ratio test problem under inverse sampling based on gradient statistic with the asymptotic method and parametric bootstrap technique. The gradient statistic has many advantages, for example, it is simple to calculate and competitive with Wald-type, score and likelihood ratio tests in terms of local power. Numerical studies are carried out to evaluate the performance of our gradient test and the existing tests, namely Wald-type, score and likelihood ratio tests. The simulation results suggest that the gradient test based on the parametric bootstrap method has excellent type I error control and large powers even in small sample design. Two real examples, from a heart disease study and a drug comparison study, are applied to illustrate our methods.

Suggested Citation

  • Cuizhen Niu & Qiang Xia, 2015. "Testing the rate ratio under inverse sampling based on gradient statistic," Journal of Applied Statistics, Taylor & Francis Journals, vol. 42(7), pages 1402-1420, July.
    • Handle: RePEc:taf:japsta:v:42:y:2015:i:7:p:1402-1420
    DOI: 10.1080/02664763.2014.999655
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