plot.paretoTail {laeken}

Diagnostic plot for the Pareto tail model

Description

Produce a diagnostic Pareto quantile plot for evaluating the fitted Pareto distribution. Reference lines indicating the estimates of the threshold (scale parameter) and the shape parameter are added to the plot, and any detected outliers are highlighted.

Usage

## S3 method for class 'paretoTail'
plot(
  x,
  pch = c(1, 3),
  cex = 1,
  col = c("black", "red"),
  bg = "transparent",
  ...
)

Arguments

x

an object of class "paretoTail" as returned by paretoTail.

pch, cex, col, bg

graphical parameters. Each can be a vector of length two, with the first and second element giving the graphical parameter for the good data points and the outliers, respectively.

...

additional arguments to be passed to paretoQPlot.

Details

While the first horizontal line indicates the estimated threshold (scale parameter), the estimated shape parameter is indicated by a line whose slope is given by the reciprocal of the estimate. In addition, the second horizontal line represents the theoretical quantile of the fitted distribution that is used for outlier detection. Thus all values above that line are the detected outliers.

Author(s)

Andreas Alfons

References

A. Alfons and M. Templ (2013) Estimation of Social Exclusion Indicators from Complex Surveys: The R Package laeken. Journal of Statistical Software, 54(15), 1–25. doi:10.18637/jss.v054.i15

See Also

paretoTail, paretoQPlot

Examples

data(eusilc)

# estimate threshold
ts <- paretoScale(eusilc$eqIncome, w = eusilc$db090,
    groups = eusilc$db030)

# estimate shape parameter
fit <- paretoTail(eusilc$eqIncome, k = ts$k,
    w = eusilc$db090, groups = eusilc$db030)

# produce plot
plot(fit)