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An invariant modification of the bilinear form test

Angelo Garate, Felipe Osorio, Federico Crudu

arXiv 5 Feb 2026 · Mathematics — Statistics Theory

arXiv:2602.05592 · PDF · DOI · OpenAlex · Extracted main text

Abstract

The invariance properties of certain likelihood-based asymptotic tests as well as their extensions for M-estimation, estimating functions and the generalized method of moments have been well studied. The simulation study reported in Crudu and Osorio [Econ. Lett. 187: 108885, 2020] shows that the bilinear form test is not invariant to one-to-one transformations of the parameter space. This paper provides a set of suitable conditions to establish the invariance property under reparametrization of the bilinear form test for linear or nonlinear hypotheses that arise in extremum estimation which leads to a simple modification of the test statistic. Evidence from a Monte Carlo simulation experiment suggests good performance of the proposed methodology.

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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
1Crudu, F., Osorio, F (2020) Bilinear form test statistics for extremum estimation self1.00064100%
2Dufour, J.-M., Trognon, A., Tuvaandorj, P (2017) Invariant test based on $M$-estimators, estimating functions, and generalized method of moments1.00063100%
3Gourieroux, C., Monfort, A (1995) Statistics and Econometrics Models: Testing, Confidence Regions, Model Selection and Asymptotic Theory. Vol. 20.64422100%
4Newey, W.K., West, K.D (1987) Hypothesis testing with efficient method of moments estimators0.64422100%
5Phillips, P.C.B., Park, J.Y (1988) On the formulation of Wald tests of nonlinear restrictions0.64422100%
6Goh, K.L., King, M.L (1996) Modified Wald tests for non-linear restrictions: A cautionary tale0.51121100%
7Greville, T.N.E (1966) Note on the generalized inverse of a matrix product0.51121100%
8Dagenais, M.G., Dufour, J.-M (1991) Invariance, nonlinear models, and asymptotic tests0.40511100%
9Gregory, A.W., Veall, M.R (1985) Formulating Wald tests of nonlinear restrictions0.40511100%
10Hansen, L (1982) Large sample properties of generalized method of moments estimators0.40511100%

Showing the top 10 of 19 scored citations.