Abstract
One of the appropriate methods used to model count data response and its corresponding predictors is Poisson regression. Poisson regression strictly assumes that the mean and variance of response variables should be equal (equidispersion). Nonetheless, some cases of the count data unsatisfied this assumption because variance can be larger than mean (over-dispersion). If overdispersion is violated, causing the underestimate standard error. Furthermore, this will lead to incorrect conclusions in the statistical test. Thus, a suitable method for modelling this kind of data needs to develop. One alternative model to outcome the overdispersion issue in bivariate response variable is the Bivariate Poisson Inverse Gaussian Regression (BPIGR) model. The BPIGR model can produce a global model for all locations. On the other hand, each location and time have different geographic conditions, social, cultural, and economical so that Geographically and Temporally Bivariate Poisson Inverse Gaussian Regression (GTWBPIGR)) is needed. The weighting function spatial-temporal in GTWBPIGR generates a different local model for each period. GTWBPIGR model solves the overdispersion case and generates global models for each period and location. The parameter estimation of the GTWBPIGR model uses the Maximum Likelihood Estimation (MLE) method, followed by Newton Raphson iteration. Meanwhile, the test statistics on the hypothesis testing is simultaneously testing of the GTWBPIGR model is obtained with the Maximum Likelihood Ratio Test (MLRT) approach, using n large samples of the statistical test is chi-square distribution. Moreover, the test statistics for partially testing used the Z-test statistic.
Parameter estimation and hypothesis testing of geographically and temporally weighted bivariate Poisson inverse Gaussian regression model