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Joint Quantile Shrinkage: A State-Space Approach toward Non-Crossing Bayesian Quantile Models

David Kohns, Tibor Szendrei

arXiv 16 Jun 2025 · Statistics — Methodology

arXiv:2506.13257 · PDF · DOI · OpenAlex · Extracted main text

Abstract

Crossing of fitted conditional quantiles is a prevalent problem for quantile regression models. We propose a new Bayesian modelling framework that penalises multiple quantile regression functions toward the desired non-crossing space. We achieve this by estimating multiple quantiles jointly with a prior on variation across quantiles, a fused shrinkage prior with quantile adaptivity. The posterior is derived from a decision-theoretic general Bayes perspective, whose form yields a natural state-space interpretation aligned with Time-Varying Parameter (TVP) models. Taken together our approach leads to a Quantile-Varying Parameter (QVP) model, for which we develop efficient sampling algorithms. We demonstrate that our proposed modelling framework provides superior parameter recovery and predictive performance compared to competing Bayesian and frequentist quantile regression estimators in simulated experiments and a real-data application to multivariate quantile estimation in macroeconomics.

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70
references
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in-text mentions
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distinct cited
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Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Bondell, H. D., Reich, B. J., and Wang, H (2010) Noncrossing quantile regression curve estimation0.95014586%
2Chavleishvili, S. and Manganelli, S (2024) Forecasting and stress testing with quantile vector autoregression0.91417476%
3Jiang, L., Wang, H. J., and Bondell, H. D (2013) Interquantile shrinkage in regression models0.84333100%
4Kohns, D. and Szendrei, T (2024) Horseshoe prior bayesian quantile regression self0.84333100%
5Polson, N. G. and Scott, J. G (2012) On the Half-Cauchy Prior for a Global Scale Parameter0.84333100%
6Zou, H. and Yuan, M (2008) Composite quantile regression and the oracle model selection theory0.81142100%
7Bitto, A. and Frühwirth-Schnatter, S (2019) Achieving shrinkage in a time-varying parameter model framework0.7375340%
8Carvalho, C. M., Polson, N. G., and Scott, J. G (2009) Handling Sparsity via the Horseshoe0.73732100%
9Szendrei, T., Bhattacharjee, A., and Schaffer, M. E (2024) Fused LASSO as non-crossing quantile regression self0.73732100%
10Reich, B. J. and Smith, L. B (2013) Bayesian quantile regression for censored data0.64441100%

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