Quasi-maximum likelihood estimation of a censored equation system with a copula approach: meat consumption by U.S. individuals

Authors


*Corresponding author. Tel.: (865) 974-7474; fax: (865) 974-4829. E-mail address:syen@utk.edu (S. T. Yen)

Abstract

A copula approach to censored system estimation is proposed. The quasi-maximum likelihood estimator departs from the multivariate normal error distribution predominantly used in existing estimators and resolves the computational difficulty with multiple probability integrals in high-dimensional censored systems. An application to individual meat consumption demonstrates that the procedure produces very different empirical estimates from existing Gaussian full-information and quasi-maximum likelihood estimates.

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