Survey Methodology
On a new estimator for the variance of the ratio estimator with small sample corrections
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by Paul Knottnerus and Sander ScholtusNote 1
- Release date: December 17, 2019
Abstract
The widely used formulas for the variance of the ratio estimator may lead to serious underestimates when the sample size is small; see Sukhatme (1954), Koop (1968), Rao (1969), and Cochran (1977, pages 163-164). In order to solve this classical problem, we propose in this paper new estimators for the variance and the mean square error of the ratio estimator that do not suffer from such a large negative bias. Similar estimation formulas can be derived for alternative ratio estimators as discussed in Tin (1965). We compare three mean square error estimators for the ratio estimator in a simulation study.
Key Words: Bias; Product moments; Sample variance; Taylor series expansion.
Table of contents
- Section 1. Introduction
- Section 2. A new variance estimator
- Section 3. A simulation study
- Section 4. Conclusions
- References
How to cite
Knottnerus, P., and Scholtus, S. (2019). On a new estimator for the variance of the ratio estimator with small sample corrections. Survey Methodology, Statistics Canada, Catalogue No. 12-001-X, Vol. 45, No. 3. Paper available at http://www.statcan.gc.ca/pub/12-001-x/2019003/article/00003-eng.htm.
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