Comparison of D error and prior specification

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Comparison of D error and prior specification

Postby Yenny » Fri Nov 03, 2023 9:00 pm

Dear Prof. Bilemer,

I have a couple of questions regarding the coding of an efficient design:

1) Since the calculation of d-error is dependent on the utility function. Does this mean as long as the utility function and priors specified remain the same, the d-errors will be comparable? i.e., even if there are changes in the searching algorithm, or the number of rows and number of blocks, the d-errors are still comparable?
2) When assigning priors to categorical variables, if I know cat1 is superior than cat2 but not sure where the preference for cat3 sits, how would this be coded? If I assign a 0 prior to cat3, would Ngene treat 0 simply as a non-informative prior, or would there be a natural order to compare with the magnitudes of priors for cat1 and cat2?

Thanks,
Yenny
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Re: Comparison of D error and prior specification

Postby Michiel Bliemer » Sat Nov 04, 2023 9:24 am

D-errors are indeed only comparable for the same model specification and priors, which means the same model type (e.g. MNL), the same utility specifications, the same coding scheme (e.g. dummy coding) and the same priors. For example, you can compare efficient and orthogonal designs and you can compare designs generated using different algorithms.

If you increase the number of rows, the D-error will always improve since you capture more information. So it is not really fair to compare a design with 20 rows with a design with 30 rows, because the latter should always have a smaller D-error. The number of blocks does not affect the D-error.

Regarding your second example, suppose that you have the following:
b.dummy[0.3|0.2|0] * cat[1,2,3,0]

This would mean that level 1 is preferred over level 2, and that level 2 is preferred over level 3. So using a 0 prior in this case does indicate a preference order. Level 3 would however have equal preference as base level 0.

If you would use something like this:
b.dummy[(u,0.3,0.4)|(u,0.2,0.3)|(u,0.1,0.5)] * cat[1,2,3,0]

Then this would mean that level 1 is preferred over level 2, but level 3 could be anywhere from above level 1 to below level 2. Note that when requesting Ngene to check for dominant alternatives in an unlabelled experiment, e.g. by using ;alts = alt1*, alt2*, then Ngene uses the mean value of the priors, so in that case it would use 0.35 for level 1, 0.25 for level 2, and 0.3 for level 3, so it would put level 3 in between level 1 and level 3 when looking at the preference order.

Michiel
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