A Closer Look at Two Alternative Methods of Statistical Discrimination

M. A. Moran and B. J. Murphy

Journal of the Royal Statistical Society Series C, 1979, vol. 28, issue 3, 223-232

Abstract: A recent comparison of predictive and estimative approaches to discrimination found in favour of the former. Closer examination suggests that the original comparison was somewhat misleading and unfair to the estimative method. If standard adjustments for bias are made in the estimative method, more comparable results are obtained. The predictive method is shown to have a frequentist interpretation and further parallels between the two approaches are noted.

Date: 1979
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