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Random sets and exact confidence regions

An important problem in statistics is the construction of confidence regions for unknown parameters. In most cases, asymptotic distribution theory is used to construct confidence regions, so any coverage probability claims only hold approximately, for large samples. This paper describes a new approach, using random sets, which allows users to construct exact confidence regions without appeal to asymptotic theory. In particular, if the user-specified random set satisfies a certain validity property, confidence regions obtained by thresholding the induced data-dependent plausibility function are shown to have the desired coverage probability.

preprint2013arXivOpen access
Ryan Martin
math.STStatistics Theory
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Ryan Martin

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