Bacon with your eggs? Applications of a new bivariate beta-binomial distribution

Peter Danaher, Bruce Hardie

Research output: Contribution to journalArticleResearchpeer-review

26 Citations (Scopus)

Abstract

We present two everyday applications of a new bivariate beta-binomial distribution. Although the applications are familiar, they share unique characteristics that cannot be handled adequately by existing bivariate discrete distributions. These features are high levels of between- and within-trial correlation for the bivariate random variables. Our model is derived from a broad class of bivariate models based on a versatile, but little-known, family of distributions due to Sarmanov. For the applications presented, we show that our model fits observed data very well. In addition, for the bacon and eggs application, the model can be used to help improve the management of inventory in grocery stores
Original languageEnglish
Pages (from-to)282 - 286
Number of pages5
JournalAmerican Statistician
Volume59
Issue number4
DOIs
Publication statusPublished - 2005
Externally publishedYes

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