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PANJAB UNIVERSITY CHANDIGARH

Outlines of Text, Syllabi and Courses of Reading in the Subject of Statistics for M.Sc. (Statistics)
I-IV semester for the session 2018-19 i.e., 1st and 3rd Semesters November/December 2018 and
2nd & 4th Semesters April/May 2019 Examinations, respectively.

Course No. Title Credits

Semester-I
Stat-101 Linear Algebra 4
Stat-102 Distribution Theory 4
(Theory 3/4, Practical 1/4)
Stat-103 Statistical Methods with Packages 4
(Theory 3/4, Practical 1/4)
Stat-104 Course selected from module 4

Semester- II
Stat-201 Numerical Techniques using FORTRAN 4
(Theory 1/2 Practical 1/2)
Stat-202 Estimation and Testing of Hypotheses 4
(Theory 3/4, Practical 1/4)
Stat-203 Sampling Theory and Official Statistics 4
(Theory ¾, Practical ¼)
Stat-204 Course selected from module 4

Semester- III

Stat-301 Nonparametric Inference 4


(Theory 3/4, Practical 1/4)
Stat-302 Statistical Process and Quality Control 4
(Theory 3/4, Practical 1/4)
Stat-303 Linear Inference 4
(Theory 3/4, Practical 1/4)
Stat-304 Course selected from module 4

Stat-305 Computational Techniques Using R


(Theory 3/4, Practical 1/4)
* will be introduced after necessary approval of the competent authorities.

Semester- IV

Stat-401 Multivariate Analysis 4


(Theory 3/4,, Practical ¼)
Stat-402 Design and Analysis of Experiments 4
(Theory 3/4,, Practical ¼)
Stat-403 Course selected from module 4
Stat-404 Course selected from module 4

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MODULE
M 1 Actuarial Statistics 4

M 2 Categorical Data Analysis 4

M 3 Econometrics (Theory 3/4, Practical 1/4) 4

M 4 Economic Statistics 4

M 5 Advanced Inference (Theory 3/4, Practical 1/4) 4

M 6 Measure and Probability Theory 4

M 7 Operations Research (Theory 3/4, Practical 1/4) 4

M 8 Real and Complex Analysis 4

M 9 Reliability 4

M 10 Simultaneous Inference 4

M 11 Statistical Simulation and Computation (Theory 1/2, Practical 1/2) 4

M 12 Stochastic Processes 4

M 13 Survival Analysis 4

ANY OTHER COURSE WHICH THE BOARD OF CONTROL MAY DECIDE TO OFFER.

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NOTES:

1. The Board of Control shall decide which papers from the selected modules shall be offered in
M.Sc. (Statistics) 1st , 2nd, 3rd and 4th Semesters.

2. Each paper/course of 4 credits shall carry hundred marks.

3. A student shall be required to earn a total of 64 credits to become eligible for the award of M.Sc.
(Statistics) degree.

4. For a uniform spread of the syllabus over four semesters, a student shall be required to attend
classes for courses amounting to a minimum of 12 credits and a maximum of 20 credits each
semester in the four-semesters M.Sc. (Statistics) programme.

5. The composition, duration and the general style of the theory papers in the final examination in
each semester will be decided upon by the Board of Control.

6. The mode of conduct of practical examinations in each semester will be decided upon by the Board
of Control.

7. In the final examination of the course, which is divided into theory and practical parts, the
distribution of the weightage for the practical part will be as follows:

(a) Practical questions (3/5)


(b) Viva-voce (1/5)
(c) Record of practicals (1/5)

8. In the final examination of the course, which is divided into theory and practical parts, the theory
and practical papers will be treated as independent units for passing in a paper.

Evaluation to the extent of 20% of the theory marks in each course will be based on Internal
Assessment. The Board of Control will decide mode of Internal Assessment.

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DETAILS OF TEXT AND SYLLABI

SEMESTER –I

Stat-101: LINEAR ALGEBRA (4 Credits)


Final Examination : 80 Marks
Internal Assessment: 20 Marks

Objective: Techniques of linear algebra useful in various Statistics courses will be covered in this
course. After learning this course, the students will be well equipped to apply these techniques in
many major Statistics courses like Linear Inference, Multivariate Analysis and Operations Research
etc.

Note:- The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.

Unit-I

Matrices: Determinant and trace, rank and nullity theorems, ranks of product of two matrices,
Sylvester’s law, Frobenius inequality. Elementary matrices and Echelon forms. Partitioned
matrices: addition, multiplication and inverse.

Review of basic notions of vector spaces; Subspaces.

Linear Transformations: kernel and range, inverse transformations, matrices of linear transformations.
Change of basis, similarity.
Inner product spaces: norms, orthogonal bases. Cauchy-Schwarz inequality, Gram Schmidt
orthogonalization, orthogonal projection, Bessel’s inequality. Unitary and orthogonal
transformations. Holder and Minkowski inequalities.

Unit-II

Eigenvalues and eigenvectors: Cayley Hamilton Theorem, diagonalization, triangulization,


unitary diagonalization. Spectral theorem for normal matrices.
Jordan decomposition and singular value decomposition of matrices (only methods and not
proofs). Generalized inverse: Definition and its computation. Perron’s and Frobenius Theorems
(only statement) and their applications.
Quadratic forms: definite and semi definite quadratic forms, index and signatures, simultaneous
diagonalization of symmetric matrices (equivalent quadratic forms).

Books:
1. Rao, C. R. (2002) : Linear Statistical Inference and its Applications, Chapter-I (2nd Ed.),
Wiley.
2. Graybill, F.A.(2001) : Matrices with Applications in Statistics (2nd edition).

Additional References:

1. Rao. A.R., Sankaran, P. B. (2002) : Linear Algebra (2nd Ed.) Hindustan Book Agency.

2. Sahai V. & Bist V. (2002) : Linear Algebra, Narosa.

Note: The contents of this course are as per the scope of C. R. Rao Book.

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Stat-102 : DISTRIBUTION THEORY (4 Credits)
(Theory 3/4, Practical 1/4)
Theory Final Examination : 60 Marks
Internal Assessment : 15 Marks
Practical : 25 Marks

Objective: This course will lay the foundation to probability theory and Statistical modeling of
outcomes of real life random experiments through various Statistical distributions.
Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions from
each unit in three hours duration. The compulsory question shall contain short answer type questions
covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.

UNIT-I

Random experiments, sample spaces (finite and infinite), events, algebra of events, three basic
approaches to probability, combinatorial problems. Product sample spaces, conditional probability,
Bayes’ formula. Random variables (discrete and continuous), Distribution Function and its properties,
expectation and variance. Bivariate random variable, joint, marginal and conditional pmfs and pdfs,
correlation coefficient, conditional expectation. Functions of random variables and their distributions
using Jacobian of transformation and other tools. Probability Integral transformation, order statistics and
their distributions (continuous case only).

Markov, Chebyshev and Jensen inequalities.

UNIT-II

Moment generating, Characteristic and probability generating functions.

Discrete Distributions: Bernoulli, Binomial, Poisson, Hyper-geometric, geometric, negative binomial,


uniform. Continuous Distributions: Uniform, normal, exponential, gamma, Beta, Cauchy, Weibull,
Pareto, Chi-square, Laplace and Lognormal. . Bivariate normal and multinomial distributions.

Convergence in distribution. De-Moivre-Laplace and Lindeberg-Levy forms of Central Limit Theorem .


Approximating distribution of a function of a statistic (Delta method).

REFERENCES:

1. Meyer, P.L. (1990) : Introductory Probability and Statistical Applications, Oxford & IBH
Pub.
2. Miller, I. and Miller, M. : Mathematical Statistics (Sixth edition), Oxford & IBH Pub.
(1999)

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3. Rohatgi, V. K. and Saleh : An Introduction to Probability Theory and Mathematical Statistics,
A.K.M.E. (2010) Wiley Eastern.
4. Rao, C.R.(2002) : Linear Statistical Inference and its Applications, 2nd Ed., Wiley Eastern.
5. Ross, S. M. (1989) : Introduction to Probability Models, 4th edition.

ADDITIONAL REFERENCES:

1. Dudewicz, E.J. and : Modern Mathematical Statistics, Wiley, International Students’


Mishra, S.N. (1988) Edition.

2. Pitman, J. (1993) : Probability, Narosa Publishing House.

3. Johnson N.L, Kemp, A.W. and. : Univariate Discrete Distributions, Third Edition, Wiley Series in
Kotz, S (2005) Probability and Statistics.

4. Johnson, N.L, Kotz S and : Continuous Univariate Distributions, Vol. I, Wiley Series in
Balakrishnan N. (1994) Probability.

5. Scheaffer, R.L. and Young L. : Introduction to probability and its applications, 3rd edition,
(2009) Brooks/Cole.

6. Lipschutz, S., Lipson, M.L. and : Schaum’s Outlines on Probability, Second Special Indian
Jain, K. (2010) Edition, Tata McGraw Hill Education Private Limited.

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Stat-103: STATISTICAL METHODS WITH PACKAGES (4 Credits)
(Theory 3/4, Practical 1/4)
Theory Final Examination : 60 Marks
Theory Internal Assessment : 15 Marks
Practical : 25 Marks

Objective: The objective of the course is to make the students conversant with various
techniques used in summarization and analysis of data. The focus will be both on theoretical as
well as practical approach using commonly used Statistical Software.

Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.

UNIT-I
Descriptive Statistics: Meaning, need and importance of statistics. Attributes and variables. Measurement and
measurement scales. Collection and tabulation of data. Diagrammatic representation of frequency distribution:
histogram, frequency polygon, frequency curve, ogives, stem and leaf plot, pie chart. Measures of central
tendency, dispersion (including box and whisker plot), skewness and kurtosis.

Sampling distributions: Normal, Chi-square, t and F distributions and their relations. Population, random
sample, parameter, statistic and sampling distribution. Sample mean and sample variance associated with a
random sample from a normal distribution: their independence, sampling distributions, expectations and
standard errors.

Tests of Significance: Statistical hypotheses, Type I and II errors, level of significance, test of significance,
concept of p-value. Tests of significance for the parameters of normal distribution (one sample and two sample
problems) and the relevant confidence intervals. Chi-square test of goodness of fit and independence of
attributes. Test of significance for correlation coefficient ( = 0,  = 0).

UNIT-II

Data on two attributes, independence and association of attributes in 2x2 tables. Linear regression and
correlation (Karl Pearson’s and Spearman’s) and residual plots.

Vital Statistics (basics of demography): Rates of vital events, measurements of mortality, crude death rate,
specific and standardized death rates. Life tables (description and construction). Measurement of fertility, crude
birth rate, general fertility rate, age-specific and total fertility rates. Measurement of population growth, crude
rate of natural increase and vital index, gross and net reproduction rates.

Index Numbers: Meaning of index number. Problems in construction of index numbers: purpose of the index,
choice of base period, choice of commodities, choice of weights, interpretation of the index. Laspeyer’s,
Paasche’s and Fisher’s index numbers. Errors in index numbers, tests for index numbers, cost of living index
numbers. Uses of index numbers (real wages, splicing and deflating).

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Time Series: The four components of an economic time series. Trend determination: by mathematical curve
fitting and by moving average methods. Measurement of seasonal variations: ratio to moving average method,
ratio to trend method.

Use of Statistical packages: Topics should include graphic representation of data, descriptive statistics, simple
hypothesis tests, correlation and linear regression.

REFERENCES:

1. Goon, A.M., Gupta, M.K. & : Fundamentals of Statistics, Vol. I & II, Sultan Chand and Sons.
Dasgupta,B (2005)

2. Mahalanobis P.C. (1971) : Fundamentals of Statistics


3. Croxton, F.E. & Cowden, D. J. (1975) : Applied General Statistics.

4. Hoel, P.G. (1997) : Introduction to Mathematical Statistics.


5. Daniel, W.W. (10th edition) (2013) : Biostatistics. A foundation for analysis in the Health
Sciences, Wiley.

ADDITIONAL REFERENCES:

1. Stuart, A. & Keith, O. (1994) : Kendall’s advanced theory of Statistics Vol. I (6th Ed.)
2. Lancaster, H.O. (1973) : Introduction to Medical Statistics.
3. Gupta S.C. & Kapoor V.K. (2007) : Fundamentals of Applied Statistics, (4th edition),Sultan
Chand and Sons.

4. Spiegel, M.R., Stephens, L.J. and. : Schaum’s Outlines Statistics (4th Edition), McGraw Hill
Kumar, N. (2010) Education Pvt. Ltd., New Delhi.

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SEMESTER- II

Stat-201: NUMERICAL TECHNIQUES USING FORTRAN (4 credits)


(Theory 1/2 Practical 1/2)

Theory Final Examination : 40 Marks


Theory Internal Assessment : 10 Marks
Practical : 50 Marks

Objective: This course introduces Basic Computer Concepts and programming language -
FORTRAN. Students learn to implement numerical methods being studied in theory using
FORTRAN programming language on computers. Numerical algorithms are studies for
mathematical calculations using computers.

Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to
attempt any three questions in four hours duration.

iii) Use of Scientific calculator will be allowed for numerical work in Theory.

UNIT-I

Hardware Concepts: Introduction and use of Computers, Computer system components and
functions. The central processing unit, Input/Output Devices, Primary and Secondary memory.
Overview of existing hardware configuration.

Software Concepts: Overview of operating systems, types and functions of operating system,
application software, overview of existing software packages for general and statistical use.
Introduction to flowcharts and algorithms.

FORTRAN: Introduction, Constants and Variable names, Arithmetic Expressions, Hierarchy of


operations, special functions, Control statements: Relational operators, logical IF, Arithmetic IF, Do
loops, unconditional GOTO statement, Nested Statements. Subscripted Variables (Arrays), Use of
multiple subscripts, Character manipulation, Substrings. FORMAT Statement, Functions and
Subroutines, Equivalence, COMMON and DATA statements, File handling.

Transcendental and Polynomial equations: Bisection method, Iteration methods based on first
degree equation (Regula falsi Method, Secant method, Newton-Raphson Method), iteration method
based on second degree polynomial (Mullar Method, Chebyshev Method). Rate of convergence of
Secant and Newton Raphson method. General iteration methods (first and second order). Aitken’s2
method (Acceleration of convergence). Method for Complex Roots. Polynomial Equations: iterative
methods (Birge-Vieta Method, Bairstow Method), Choice of an iterative method & implementation.

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UNIT -II

System of Linear Algebraic equations: Direct Methods: Forward substitution and Backward
substitution, Cramer Rule, Gauss Elimination Method, Gauss-Jordan Elimination Method,
Triangularization Method, Cholesky Method, Partition Method. Iteration methods: Jacobi iteration
method and Gauss-Seidal iteration method.

Interpolation and approximation: Lagrange & Newton interpolations, finite difference operators,
interpolating polynomial using finite differences, Gregory Newton Forward and Backward difference
interpolation, Stirling and Bessel interpolations, Hermite interpolation, bivariate interpolation
(Lagrange bivariate interpolation, Newton's bivariate interpolation for equispaced points).
Approximation (Weierstrass approximation).

Numerical Differentiation: Methods based on interpolation, finite difference operators,


undetermined coefficients. Extrapolation Methods.

Numerical Integration: Methods based on interpolation (Newton Cotes method, Trapezoidal rule,
Simpsons 1/3rd& 3/8th rule). Method based on undetermined coefficients (Gauss-Legendre integration
Method), Composite integration methods (Trapezoidal Rule, Simpson’s Rule), Romberg integration,
double integration.

REFERENCES:
1. Jain, M.K. Iyengar, S.R. K. : Numerical Methods for Scientific and Engineering
and Jain, R.K. (2007) Computation, Second Edition, Wiley Eastern Ltd.

2 Rajaraman, V. (2006) : Computer Programming in FORTRAN 90 AND 95, PHI


Learning Pvt. Ltd.

3. William, E. M. and Martin, : Schaum’s Outline of theory and Problems of Programming with
C (1995) FORTRAN-90.

ADDITIONAL REFERENCES:
1. Conte, S. D. and Boor C.D. : Elementary Numerical Analysis, Third Edition.
(1972) McGraw-Hill International Editions.

2. Hildebrand, F.B. (1987) : Introduction to Numerical Analysis.

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Stat-202 : ESTIMATION AND TESTING OF HYPOTHESES (4 Credits)
(Theory 3/4, Practical 1/4)
Theory Final Examination : 60 Marks
Theory Internal Assessment : 15 Marks
Practical : 25 Marks

Objective: The objective of the course is to provide a systematic account of Neyman Pearson
theory of testing and closely related theory of point estimation and confidence sets,
together with their applications
Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.

UNIT-I

Estimation: Introduction to the problem of estimation. Concepts of unbiasedness, sufficiency, consistency,


efficiency, completeness.

Unbiased estimation: Minimum and uniformly minimum variance unbiased estimation, Rao-Blackwell and
Lehmann-Scheffe theorems. Ancillary statistic, Basu’s theorem and its applications. Fisher information
measure, Cramer- Rao inequality. Chapman-Robin inequality. Bhattacharya bounds. Methods of estimation:
method of moments, maximum likelihood estimation, minimum chi-square method, method of scoring. Basic
ideas of Bayes and Minimax estimators.

UNIT-II

Tests of Hypotheses: Concepts of critical regions, test functions, two kinds of errors, size function, power
function, level of significance. MP and UMP tests in a class of size  tests. Neyman - Pearson Lemma, MP test
for simple null against simple alternative hypothesis. UMP tests for simple null hypothesis against one-sided
alternatives and for one-sided null against one-sided alternatives in one parameter exponential family.
Extension of these results to Pitman family when only upper or lower end depends on the parameter and to
distributions with MLR property. Non-existence of UMP test for simple null against two-sided alternatives in
one parameter exponential family. Likelihood Ratio Tests. Wald’s SPRT with prescribed errors of two types.

Interval estimation: Confidence interval, confidence level, construction of confidence intervals using pivots,
shortest expected length confidence interval, uniformly most accurate one sided confidence interval and its
relation to UMP test for one sided null against one sided alternative hypotheses. Tests of hypotheses and
interval estimation viewed as decision problems with given loss functions.

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REFERENCES:

1. Rohatgi, V. K. and : An Introduction to Probability Theory and Mathematical Statistics,


Saleh, A.K. M.E. (2010) John Wiley.
2. Rao, C.R. (2002) : Linear Statistical Inference and its Applications, 2nd Edition, Wiley.
3. Lehmann, E.L. (1986) : Theory of Point Estimation (Student Edition). John Wiley & Sons.
4. Goon, A.M., Gupta, M.K. : An Outline of Statistical Theory, Vol-II.
& Dasgupta, B (2005)

5. Kale, B.K. (1999) : A first Course on Parametric Inference, Narosa Publishing House.

6. Dudewicz, E.J. and : Modern Mathematical Statistics, Wiley ( New York).


Mishra, S.N. (1988)

ADDITIONAL REFERENCES:
1. Lehmann, E.L. (1986) : Testing Statistical hypotheses (Student Edition).
2. Ferguson, T.S. (1967) : Mathematical Statistics. Academic Press.
3. Zacks, S.(1971) : Theory of Statistical Inference, John Wiley and Sons. New York.

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Stat-203: SAMPLING THEORY AND OFFICIAL STATISTICS (4 Credit)
(Theory ¾, Practical ¼)

Theory Final Examination : 60Marks


Theory Internal Assessment : 15 Marks
Practical : 25 Marks

Objective: The objective of this course is to acquaint the students about: (i) the need & merits of
sampling over census and (ii) the implementation of various sampling schemes along with their
merits, demerits and comparisons in appropriate practical situations, (iii) role of various statistical
organizations in national development.

Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.

UNIT-I

Sample Surveys: Introduction to usual notations used in sampling. Basic finite population sampling
techniques: SRSWOR, SRSWR, stratified, systematic and related results on estimation of population
mean/ total. Relative precision of different sampling techniques. Allocation problem in stratified
sampling.

Ratio and regression estimators based on SRSWOR method of sampling. Two-stage sampling with
equal size of first stage units. Double sampling for ratio and regression methods of estimation. Cluster
sampling - equal clusters.

UNIT-II

Unequal probability sampling: PPS WR/WOR methods [cumulative total, Lahiri’s schemes] and
related estimators of a finite population mean [Thompson-Horwitz, Yates and Grundy estimator, Desraj
estimators for a general sample size and Murthy’s estimator for a sample of size 2].

National sample surveys organization (NSSO) and role of various statistical organizations in national
development. Scope and contents of population census in India. Review of national income and their
estimates.

REFERENCES:
1. Cochran, W.G. (1977) : Sampling Techniques (3rd edition), Wiley.

2. Raj, D and Chandak (1998) : Sampling Theory, Narosa.


3. Murthy, M.N. (1977) : Sampling Theory & Methods. Statistical Publishing Society, Kolkata.
4. Mukhopadhyay, P. (1998) : Theory and Methods of Survey Sampling, Prentice Hall of India.

5. Sukhatme et. al. (1984) : Sampling Theory of Surveys with Applications. Iowa State University Press
& IARS.
6. Sen, A (1997) : Poverty and Inequality
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ADDITIONAL REFERENCES:

1. Singh, D. and : Theory and Analysis of Sample Survey Designs. New Age International
Chaudhary, F.S. (1986) Publishers.
2. CSO (1980) : National Accounts Statistics – Sources and Health.
3. Lipsey, R.G. (1979) : Introduction to Positive Economics. (Chapter-32), Weidenfeld and
Nicolson

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SEMESTER III
Stat-301: NONPARAMETRIC INFERENCE (4 Credits)
(Theory 3/4, Practical 1/4)
Theory Final Examination : 60 Marks
Theory Internal Assessment : 15 Marks
Practical : 25 Marks
Objective: The objective of this course is to apprise the students about various techniques of
hypothesis testing when the assumptions of parametric set up are not fulfilled. Thrust will be
to study various non parametric analogues to one, two and c-sample location problems as well
as two sample scale problem.

Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.

UNIT-I

Estimable parametric functions, kernel, symmetric kernel, one sample U-Statistic. Two sample U-
Statistic, asymptotic distribution of U-Statistics, UMVUE property of U-Statistics.
Empirical distribution function, confidence intervals based on order statistics for quantiles, tolerance
regions.
Tests for randomness: Tests based on the total number of runs and runs up and down. Rank-order
statistics. One sample and paired-sample techniques: sign test and signed-rank test. Goodness of fit
problem: Chi-square and Kolmogorov-Smirnov tests.

UNIT-II

The General Two sample Problem: Two sample stochastic dominance problem, stochastic modeling
of two sample location and scale problems in Nonparametric setting. Wald Wolfwilz run test and
Kolmogorov –Smirnov two sample test.

Linear Rank Statistics: Linear Rank Statistics and its limiting distribution, Rank test, MP and LMP
rank tests. Tests for two-sample location problem: Wilcoxon-Mann-Whitney, Terry-Hoeffding, Van
der Waerden, Median tests. Tests for two-sample scale problem: Mood, Klotz, Capon, Ansari-Bradley,
Siegel – Tukey and Sukhatme tests. Pitman asymptoitic relative efficiency. Independence in bivariate
sample: Kendall’s and Spearman’s rank correlation.

Tests for the c-sample problem: Kruskal-Wallis, Jonckheere- Terpstra tests.


Concepts of Jackknifing, method of Quenouille for reducing bias, Bootstrap methods.

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REFERENCES:

1. Gibbons, J.D. (1985) : Nonparametric Statistical Inference, 2nd ed., Marcel


Dekker, Inc.

2. Randles, R.H. and : Introduction to the theory of nonparametric statistics,


Wolfe, D.A. (1979) John Wiley and Sons Inc.
3. Davison, A.C. : Bootstrap Methods and their application, Cambridge
and Hinkley, D.V. (1997) University Press.

4. Daniel, W.W. (2000) : Applied Nonparametric Statistics (2nd Ed.), Wiley.

ADDITIONAL REFERENCES:

1. Hajek, J. and Sidak, Z. (1967) : Theory of rank tests, Academic Press.

2. Puri, M.L. and Sen, P.K. (1971) : Nonparametric methods in multivariate analysis, John
Wiley & Sons, Inc.

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Stat-302: STATISTICAL PROCESS AND QUALITY CONTROL (4 Credits)
(Theory 3/4 Practical 1/4)
Theory Final Examination : 60 Marks
Theory Internal Assessment : 15 Marks
Practical : 25 Marks

Objective: The paper shows the applications of Statistics to maintain quality in Engineering or
industrial set up. The theory of control charts, sampling plans and process capability
indices is the basis for judging whether the process is in statistical control or not. The
topics are quite helpful during industrial training/placements of M.Sc. Students.
Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.

UNIT-I

The meaning of quality, quality assurance, technology and productivity. Statistical methods for quality
control and improvement.

Chance and assignable causes of quality variation, general theory of control charts, control charts for
variables: X and R chart, analysis of pattern on control charts, control chart for attributes- np, p, c and
u charts. Type I & Type II error and β risk for Control chart for variables & attributes along with the
ARL of these Charts. Multiple stream processes: Group control charts. Specification limits and
tolerance limits and modified Control limits.

The cumulative-sum control charts (cusum-charts): using v – mask, A.R.L of cusum charts,
exponentially weighted moving average control charts, control charts based on Moving Average.

UNIT-II

Process capability analysis, introduction, Capability indices- Cp , Cpk and Cpm. Estimation, confidence
intervals and tests of hypotheses relating to capability indices for normally distributed characteristics.

Acceptance sampling plans for attribute inspection: single, double and sequential sampling plans
and their properties, including OC, AOQL, ATI and ASN curves. Plans for inspection by variables for
one-sided and two-sided specifications. Specification of sampling plan by LTPD and AOQL. Mill Std
plans, Dodge and Rooming tables. Some brief introduction to Bayesian Sampling plan.
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REFERENCES:
1. Montgomery, D.C (2008) : Introduction to Statistical Quality Control; Wiley.
2. Grant, E.L. (2000) : Statistical Quality Control 7th Ed.Tata McGraw Hill.

3. Kotzs & Johnson N.L. (1993) : Process Capability Indices, Chapman & Hall

ADDITIONAL REFERENCES:

1. Duncan, A.J. (1986) : Quality Control and Industrial Statistics, (5th Ed.), Richard D.
Irwin, Inc. Homeward Ill.

2. Wetherill, G.B. (1977) : Sampling Inspection and Quality Control; Halsted Press.
3. Wetherill, G.B. and : Statistical Process Control, Theory and Practice;
Brown, D.W. (1991) Chapman and Hall.

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Stat 303: LINEAR INFERENCE (4 Credits)
(Theory 3/4, Practical 1/4)
Theory Final Examination : 60 Marks
Theory Internal Assessment : 15 Marks
Practical : 25 Marks
Objective: The students will get familiar with the need of modeling random responses using
independent predictors through linear and logistic (for binary responses) models in real
life situations. Least square estimation of parameters of these models will be discussed along
with their statistical significance.
Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.

UNIT-I

Noncentral sampling distributions associated with univariate normal distribution, central and
noncentral sampling distributions associated with bivariate normal distribution, distributions of
quadratic form in normal random variables. Fisher- cochran theorem and its applications. Symmetric
normal distribution, distribution of intraclass correlation coefficient.
Point and interval estimates, best linear unbiased estimates, construction of confidence intervals of the
parameters of linear model.
Gauss-Markoff set-up, normal equations, least squares estimates and their precision, use of g-inverse,
statements and applications of fundamental theorems of least squares.

UNIT-II

Introduction to fixed, mixed and random effect models. Tests of significance and interval estimates
based on least squares theory in one-way and two-way classified data, a general model for two-way
data, Bartlett test for testing of homogeneity of variances.

Regression Analysis : Simple and multiple regression, model validation, tests about correlation (using
Z-transformation) and regression coefficients. Quadratic and cubic regression models including their
geometrical interpretation, idea of nonlinear regression. Orthogonal Polynomials and their fitting.
Analysis of covariance. Models for binary response –logistic regression model.

REFERENCES:
1. Rao,C.R. (2002) : Linear Statistical Inference and its Applications, 2nd Ed.,
Wiley, Chapters: 3b, 3c, 3d, 4a to 4e, 4f.1, 4g.1, 4g.3, 4g.4, 4h.
2. Graybill, F.A. (1961) : An Introduction to Linear Statistical Models. Vol. – I:
McGraw Hill.
3. Bowerman , B.L and : Linear Statistical models 2nd Ed., PWS-KENT Publishing
O’Connel, R.T. (1990) Company.

19
4. Kleinbaum, D. G. : Logistic Regression, Springer Verlag – A self learning text.
and Klein M (2010) 3rd Ed.

ADDITIONAL REFERENCES:

1. Koch, K.R. (1999) : Parameter Estimation and Hypothesis Testing in Linear


Models, Springer – Verlag.

2. Silvey, S.D. (1970) : Statistical Inference.

3. Montgomery, D.C,Peck,E.A : Introduction of Linear Regression Analysis 3rd Edition, Wiley.


And Vining G.F. (2006)

20
Stat-305: Computational Techniques using R
(Theory ½, Practical ½)
Total : 50 Marks
Final Theory : 20 Marks
Final Practical : 20 Marks
(Including 4 marks each for Practical file & Viva-voce)
Internal Assessment: 10 Marks

Note: - i) The question paper will consist of nine questions carrying equal marks. A candidate will be
required to attempt five questions including the first compulsory question and two questions from each
unit in three hours duration. The compulsory question shall contain short answer type questions
covering the whole syllabus with no internal choice.

ii) The practical question paper shall consist of five questions and a candidate will be required to
attempt any three questions in three hours duration.

Objective: The course covers fundamentals of R, including installation, R-script programs,


graphics, basic and advanced statistical/computational techniques. The focus will be on
theoretical as well as practical aspects.
Unit-I
Downloading and installation of R; http://www.r-project.org

Setting of working directory, Entering and manipulating data in R, Basic classes of objects
(character, numeric, integer, complex, logical), Vectors and their attributes (names, length,
type), Arrays and Data types (matrices, frames, list), Combining data (cbind, rbind), Matrix
operations (addition, subtraction, multiplication, determinant, diagonal, trace, rank),
Generating sequences, function repeats, component extraction (for vectors, matrices, list,
frames), Creating factors, Basic statistical functions (mean, median, mode, standard deviation,
variance, coefficient of variation, skewness, kurtosis, quantiles), installing packages and
library, importing data from other sources (Excel and SPSS). Data input/output functions.
Graphics in R: Graph Syntax ((title, xlabel, ylabel, pch, lty, col.), Simple graphics (Bar,
Multiple Bar, Histogram, Pie, Box-Plot, Scatter plot, qqplot), Low-level and High-Level plot
functions, par() command to generate multiple plots.
Writing code in R; R script, loops and iterations, conditional with examples. Basics of
statistical simulation.
Unit-II
Probability distributions -generating random samples from Binomial, Poisson, Normal,
Exponential, t, F and Chi-square distributions. Working on probability mass
function/probability density function, cumulative distribution functions and quantiles of these
distributions and their plottings, Computing p-values of these distributions for two-sided/one
sided alternatives.
Parametric Methods: Tests of significance for the parameters of normal distribution i.e.
mean, proportion and variance (one sample and two sample problems) and the relevant
confidence intervals. Chi-square test of goodness of fit and independence of attributes. One-
way and Two-way Analysis of Variance.
Correlation and Regression: Correlation (Karl Pearson & Spearman’s rank correlation),
Linear models in R (simple, multiple, logistic). Testing of correlation and regression
coefficients. Scatter plot and Regression line. Confidence and prediction intervals.
Non-parametric methods: Testing normality assumption using Shapiro-Wilk’s and
Anderson-darling tests. Sign test, Wilcoxon-signed rank test, Mann-Whintney test, Wilcoxon
matched pair signed rank, test, Kruskal-Wallis and Friedman tests.

21
Recommended bibliography:
Michael J. Crawley (2012): The R Book, 2nd Edition.
Dalgaard, P. (2002): Introductory Statistics with R, Springer.
Brain S. Everitt and Torsten Hothorn (2006): A Handbook of Statistical Analysis using R,
Chapman & Hall/CRC.
Kenneth Baclawski (2008): Introduction to Probability with R, Chapman & Hall/CRC.

Dennis, B. (2013): The R Student Companion, Taylor & Francis Group.


Matloff, N. (2011): The Art of R Programming: A Tour of Statistical Software Design,
William.
Lander, J. P. (2014): R for Everyone: Advanced Analytics and Graphics, Addison-Wesley
Data & Analytics Series.
John Kloke and Joseph W. McKean (2015): Non-parametric Statistical Methods using R, Chapman
& Hall/CRC.

22
SEMESTER IV

Stat-401: MULTIVARIATE ANALYSIS (4 Credits)


(Theory 3/4, Practical 1/4)
Theory Final Examination : 60 Marks
Theory Internal Assessment : 15 Marks
Practical : 25 Marks

Objective: The course deals with the statistical estimation and testing problems when the underlying
structure is not univariate but multivariate in nature. Various multivariate techniques (estimation and
testing) required to handle two or more correlated response variables, will be discussed under
multivariate normal setting. One sample, two sample and c-sample multivariate normal mean vector
testing problems will be discussed.
Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.

UNIT-I

Multivariate normal distribution: definition, conditional & marginal distributions, characteristic


function. Random sample from multivariate normal distribution. Maximum likelihood estimators of
parameters. Distributions of sample mean vector and variance-covariance matrix and their
independence.

Null distribution of partial and multiple correlation coefficient. Application in testing and interval
estimation.

Null distribution of Hotelling’s T2 Statistic. Application in tests on mean vector for one and more
multivariate normal populations and test of symmetry. Mahalanobis D2 and its sampling distribution.

UNIT-II

Wishart distribution and its properties. DiscriminantAnalysis and Classification of a discriminant


procedure for discriminating between two multivariate normal populations, Sample discriminant
function and tests associated with discriminant functions, probabilities of misclassification and their
estimation. Cluster analysis.

Generalised variance and distribution of sample generalized variance, Wilk’s criterion and
Multivariate Analysis of Variance [MANOVA] of one-way classified data. Testing independence of
sets of variates and equality of covariance matrices.

Principle components, Analysis and dimension reduction, canonical variables and canonical
correlation: definition, use, estimation and computation.

23
REFERENCES:
1. Anderson, T.W. (1983) : An Introduction to Multivariate Statistical Analysis, 2nd Ed.,Wiley.

2. Giri, N.C. (1977) : Multivariate Statistical Inference. Academic Press.

3. Kshirsagar, A.M. (1972) : Multivariate Analysis. Marcel Dekker.

4. Rao, C.R. (2002) : Linear Statistical Inference and its Applications. 2nd Ed. Wiley.

5. Johnson,R.A. & : Applied Multivariate Statistical Analysis, 5th Ed. Pearson


Wichern D (2005)

6. Hardly W. K. and : Applied Multivariate Statistical Analysis, Third Edition, Spring-verlag.


Simar L (2012)

ADDITIONAL REFERENCES:

1. Neil H. Timm (2002) : Applied Multivariate Analysis, Springer

24
Stat-402: DESIGN & ANALYSIS OF EXPERIMENTS (4 Credits)
(Theory 3/4, Practical 1/4)
Theory Final Examination : 60 Marks
Theory Internal Assessment: 15 Marks
Practical : 25 Marks
Objective: To provide orientation of statistics while designing statistical experiments, particularly
in agricultural set up and in pharmaceutical production processes. Exposure to various
statistical designs leading to the analysis of variance, eliminating heterogeneity of the
data, construction of designs will be provided.
Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.

UNIT-I

Three basic principles of design of experiments: randomisation, replication and local control. Design
useful for one-way elimination of heterogeneity. Completely randomised, randomised complete block
and balanced incomplete block designs. Concepts of balancing, orthogonality, connectedness and
properties of C-matrix. General inter and intra block analysis of incomplete block designs.

UNIT-II

Factorial Experiments, 22, 23, 32 and 33 factorial designs. Confounding in factorial designs: Complete
confounding, partial confounding, fractional replication and split-plot designs. Design useful for two-
way elimination of heterogeneity and their general method of analysis by using fixed effect model,
Latin squares, Graeco Latin squares and Youden squares designs.
Missing plot techniques, illustrations of construction of s x s mutually orthogonal Latin squares and
balanced incomplete block designs (by using finite geometries, symmetrically repeated differences and
known B.I.B. designs).
REFERENCES:
1. Kempthorne, O. (2007) : Design and Analysis of Experiments, Wiley

2. Raghavarao, D. (1971) : Construction and Combinatorial Problems in Design


of Experiments. Wiley
3. Chakarbarti, M.C. (1970) : Mathematics of Design and Analysis of Experiments, Asia
Publishing house
4. Dass, M.N. & Giri, N.C. (1979) : Design and Analysis of Experiments. Wiley Eastern limited

ADDITIONAL REFERENCES:
1. Cocharn, W.G. & Cox, G.M. (1992 : Design of Experiments, Wiley

2. Montgomery, D. C. (2004) : Design and Analysis of Experiment. Wiley


3. Goon A.M., Gupta M.K. & : Fundamentals of Statistics Vol. II
Dasgupta B (2005)
4. Gupta S.C. & Kapoor V.K. (2007) : Fundamentals of Applied Statistics (4th Ed.)

25
MODULE

M 1: ACTUARIAL STATISTICS (4 Credits)

Final Examination : 80 Marks


Internal Assessment: 20 Marks
Objective: The objective of the course is to provide the students with a foundation into the
applications of Statistics and Probability for important calculations in insurance, pension plans
and other investment areas. Statistical methods help in dealing with uncertain risks faced by
the people. Laws of probability are used for estimation of possible losses to the insured
person. Life insurance premiums are mainly based on Statistical tables called mortality/life
tables. Expertise in Actuarial Statistics is globally appreciated and provides opportunities for
employment in insurance and financial sector. Students with a degree in Statistics and adequate
background in actuarial science are in great demand internationally and are highly paid.

NOTE:- The question paper will consist of nine questions carrying equal marks. The first question will be
compulsory containing short answer type questions covering the entire syllabus and with not internal
choice. UNIT-I will have four questions on Probability models and Life Tables and UNIT-II will have
four questions on Insurance and Annuities. A candidate will be required to attempt five questions in
three hours duration, including the first compulsory question and selecting two from each Unit.

UNIT-I
Probability Models and Life Tables
Loss distributions: modelling of individual and aggregate losses, moments, fitting
distributions to claims data, deductibles and retention limits, proportional and excess-of-loss
reinsurance,

Risk models: models for individual claims and their sums, Distribution of aggregate claims,
Compound distributions and applications.
Introduction to credibility theory.
Survival function, curtate future lifetime, force of mortality.
Multiple life functions, joint life and last survivor status.
Multiple decrement model.
UNIT-II
Life Contingencies:
Principles of compound interest: Nominal and effective rates of interest and discount, force
of interest and discount, compound interest, accumulation factor.

Assurance and annuity contracts: definitions of benefits and premiums, various types
of assurances and annuities, present value, formulae for mean and variance of various
ontinuous and discrete payments.

Calculation of various payments from life tables: principle of equivalence, net


premiums, prospective and retrospective provisions/reserves.

REFERENCES:

1. Bowers, N. L. Gerber, H. U., Hickman : Actuarial Mathematics, 2nd ed., Society of


J. C., Jones, D.A. and Nesbill, C. J. (1997) Actuaries, USA

26
2. Klugman, S. A., Panjer, H. H., : Loss Models: From Data to Decisions. Third
Willmotand, G. E and G. G. Edition,Wiley-Interscience
Venter (2008)
3. Boland, P.J. (2007) : Statistical and Probabilistic Methods in Actuarial
Science, Chapman and Hall/CRC interdisciplinary
Statistics
4. Borowaik, D.S. and Shapiro, : Financial and Actuarial Statistics: An Introduction,
A.F. (2005) Marcel Dekker Inc., New York-Basel
5. Promislow, S.D. (2011) : Fundamentals of Actuarial Mathematics, Second
edition, Wiley

ADDITIONAL REFERENCES:

1.Dickson D.C.M. , Hardy, : Actuarial Mathematics for Life Contingent Risks,


M..R. and Waters, H.R. (2009) Cambridge University Press.
2. Deshmukh, S.R. (2010) : Actuarial Statistics: An Introduction using R, University
Press

27
M 2 : CATEGORICAL DATA ANALYSIS (4 Credits)

Final Examination : 80 Marks


Internal Assessment: 20 Marks

Objective: This course deals with the analysis of categorical data measured on different
scales. The estimation and testing techniques related to various advance models are discussed.
Fitting of models and strategies in model selection are also discussed.

Note:- The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions from
each unit in three hours duration. The compulsory question shall contain short answer type questions
covering the whole syllabus with no internal choice.

UNIT-I

Categorical response variables: Nominal, ordinal, interval Categorical data describing two-way
contingency tables, measures of nominal and ordinal association, inference for two-way contingency
tables, likelihood functions and maximum likelihood estimates, testing goodness of fit and testing
independence. Screening tests, sensitivity, specificity, and predictive value positive and negative,
partitioning chi-squared, large sample confidence intervals, delta method to estimate standard error,
exact tests for small samples.

UNIT-II

Models for binary response variables: Generalized linear models, logit, log linear, linear probability
and logistic regression models. Logit models for categorical data, probit and extreme value models,
models with log-log link, model diagnostics.

Fitting logit models, conditional logistic regression, exact trend test. Loglinear models for two
dimensions –independence model, saturated model and models for cell probabilities. Log linear model
for three dimensions. Fitting Loglinear models. Strategies in model selection, analysis of residuals,
Cochran-Mantel-Haenszel test.

REFERENCES:

1. Agresti, A. (2002) : Categorical Data Analysis, 2nd Ed. Wiley Publication.


2. Kleinbaum, D. G. (1994) : Logistic Regression, Springer Verlag.
3. Bowerman, O. (2000) : Linear Statistical models.

Additional References:
1. Agresti, A. (2007) : An introduction to categorical data Analysis, Wiley
2. Agresti, A. (2010) : Analysis of ordinal categorical data, Wiley

28
M 3: ECONOMETRICS (4 Credits)
(Theory 3/4, Practical 1/4)
Final Examination : 60 Marks
Internal Assessment: 15 Marks
Practical : 25 Marks
Objective: This course introduces the theory and applications of econometrics: the application of
statistical methods to economic data. Many of the methods introduced in this course are also used in
business, finance and many other disciplines. The course includes a review of probability theory,
mathematical expectation and theoretical probability distribution. Modeling techniques are also
utilized for hypothesis testing and economic forecasting. We will learn how to construct econometric
models, estimate the parameters of those models and interpret the parameter estimates.

Note:- :- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to
attempt any three questions in four hours duration.

UNIT-I

Nature of econometrics. The general linear model (GLM) and its assumptions. Ordinary least squares
(OLS) estimation and prediction. Significance tests and confidence intervals, linear restrictions. Use of
dummy variables and seasonal adjustment. Generalized least squares (GLS) estimation and prediction.
Heteroscedastic disturbances.

Auto correlation, its consequences and tests. Theil’s BLUS procedure. Estimation and prediction.
Multicollinearity problem, its implications and tools for handling the problem. Ridge regression.
Linear regression with stochastic regressors. Instrumental variable estimation, errors in variables.
Autoregressive linear regression. Distributed lag models: Partial adjustment, adaptive expectation and
koyck’s approach to estimation.

UNIT-II

Simultaneous linear equations model, examples. Identification problem. Restrictions on structural


parameters – rank and order conditions. Restriction on variance and covariances.

Estimation in simultaneous equations model. Recursive systems. 2 SLS estimators, k-class estimators.
3SLS estimation. Full information maximum likelihood method. Prediction and simultaneous
confidence intervals. Monte Carlo studies and simulation.

29
REFERENCES:

1. Maddala, G.S., Lahiri, K. (2009) : Introduction to Econometrics, 4th edition, Wiley

2. Johnston, J. (1984) : Econometric methods, Third edition, McGraw Hill.

3. Gujarathi, D (1979) : Basic Econometrics, McGraw Hill.

4. Apte, P.G. (1990) : Text book of Econometrics. Tata McGraw Hill.

5. Judge, O. G, Griffiths,W.E., : The Theory & Practice of Econometrics, John Wiley.

Hill,R.C., Lee, C. H. and

Lutkephol, H (1985)

ADDITIONAL REFERENCES:

1. Wetherill, G.B. (1986) : Regression analysis with applications, Chapman Hall.

2. Theil, H. (1982) : Introduction to the theory and practice of Econometrics,


John Wiley

30
M 4: ECONOMIC STATISTICS (4 Credits)

Final Examination : 80 Marks


Internal Assessment: 20 Marks

Objective: The objective of this course is to acquaint students with the basic concepts of
Microeconomic theory and the analysis of Statistical concepts used in the context of
economic set up.

Note:- The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions from
each unit in three hours duration. The compulsory question shall contain short answer type questions
covering the whole syllabus with no internal choice.

UNIT-I

The theory of Consumer Behaviour: Utility function, indifference curves and their properties, price
and income elasticities, substitution and income effects.

The Theory of the Firm: Production function, output elasticity, elasticity of substitution. Optimizing
behaviour: Output maximization, cost minimization and profit maximization. Cost functions: Short
run and long run. Homogeneous production functions: Cobb-Douglas and CES Functions.

UNIT-II

Market Equilibrium: The perfect competition. Demand functions, supply functions, commodity
market equilibrium. Imperfect competition: Monopoly & equilibrium of the firm under monopoly.
Profit Minimizations under Monopoly. Monopolistic competition.

Size Distribution of Income: A Review. Distribution patterns and descriptive analysis. Income
distribution functions: The Pareto law, Pareto –Levy law, week Pareto law, lognormal distribution.

Inequality of income: Gini coefficient, Lorenz curve mathematically & its deviation for some well-
known income distributions.

REFERENCES:
1. Henderson, J.M. & Quandt, R.E. (1980) : Microeconomic Theory- Mathematical Approach

2. Lambert, P. (2001) : The Distribution & Redistribution of Income.

3. Kakwani, N.C. (1980) : Income Inequality and Poverty: Methods of Estimation


and Policy Applications. Oxford University Press.

4. Samuelson, P.A. and : Economics


Nordheus, W.D. (1998)

31
M 5: ADVANCED INFERENCE (4 Credits)
(Theory 3/4, Practical 1/4)
Theory Final Examination : 60 Marks
Theory Internal Assessment : 15 Marks
Practical : 25 Marks

Objective: The objective of this paper is to acquaint students with the advanced applications of
statistical inference along with the higher probability concepts. The course lays the background for
the students to get familiar with the properties of various estimators used in inference.

Note:- :- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.
ii) The practical question paper shall consist of five questions and a candidate will be required to
attempt any three questions in four hours duration.

UNIT-I

Review of convergence in probability and convergence in distribution, Cramer and Slutsky’s


Theorems.
Consistent Estimation of real and vector valued parameters. Invariance of Consistent estimator under
continuous transformation, consistency of estimators by method of moments, and method of
percentiles, mean squared error criterion, asymptotic relative efficiency, error probabilities and their
rates of convergence. Minimum sample size required to attain given level of accuracy.
Consistent Asymptotic Normal (CAN) estimator, invariance of CAN estimator under differentiable
transformation, CAN property of estimators obtained by moments and percentiles, CAN estimators
obtained by moment, CAN estimators for one-parameter Cramer family, Cramer – Huzurbazar
theorem
UNIT-II

MLE method in one parameter exponential family, extension to multi-parameter exponential family,
examples of consistent but not asymptotically normal estimators from Pitman family. Method of
maximum likelihood,

Solution of likelihood equations, method of scoring, Newton – Raphson and other iterative procedures,
Fisher Lower bound to asymptotic variance, extension to multi-parameter case (without proof).
Multinomial distribution with cell probabilities depending on a parameter.

MLE in Pitman family and double exponential distribution, MLE in censored and truncated
distributions.
Likelihood Ratio Test (LRT), asymptotic distribution of LRT statistic, Wald test, Rao’s score test,
Pearson’s chi-square test for goodness of fit, Bartlett’s test for homogeneity of variances. Large
sample tests and confidence intervals based on CAN estimators, variance stabilizing transformation
and large sample tests. Consistency of large sample tests, asymptotic power of large sample tests.

32
REFERENCES:

1. Kale, B.K. (1999) : A first Course on Parametric Inference, Narosa Publishing House.
2. Rohatgi, V. and : An Introduction to Probability and Mathematical Statistics.
Saleh, A.K.M.E. (2010) Wiley Eastern Ltd. New Delhi (Student Edition)

ADDITIONAL REFERENCES:
1. Lehmann, E.L. (1986) : Testing Statistical hypotheses (Student Edition). Wiley.

2. Rao, C.R. (1973) : linear Statistical Inference. Wiley Eastern.

3. Dudewicz, E.J. and : Modern Mathematical Statistics. Wiley Series in Prob.


Mishra, S.N. (1988) Math. Stat., John Wiley and Sons New York
(International Student Edition).

4. Ferguson, T.S. (1996). : A course on Large Sample Theory. Chapman and Hall, London.

33
M 6 : MEASURE & PROBABILITY THEORY (4 Credits)
Final Examination: 80 Marks
Internal Assessment: 20 Marks

Objective: Measure Theory is an essential area of Mathematics for analysis of probability models. In
fact, measure theory is a basic requirement for Kolmogorov probability model. This course is
a brief introduction to measure theory and its first application to probability theory.

Note:- The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.

UNIT-I

Classes of sets, fields, sigma-fields, minimal sigma-field, Borel sigma-field in Rk. Measure, probability
measure, properties of a measure, Caratheodory extension theorem (statement only), Lebesgue and Lebesgue-
Stieljes measures on Rk. Measurable functions, Convergence in measure. Integration of a measurable function
with respect to a measure, Fatou’s Lemma, Monotone convergence theorem.

UNIT-II

Random variables, sequence of random variables. Limit Supremum & limit infimum, Borel Cantelli Lemma.
Almost sure convergence, convergence in probability. Convergence in distribution, characteristic function,
uniqueness theorem, inversion theorem (statement and applications only), Levy’s continuity theorem (statement
only), CLT for a sequence of independent random variables under Lindeberg’s condition, CLT for iid random
variables.

REFERENCES:

1. Bhat, B.R. (1999). : Modern Probability Theory 3rd Ed. Wiley Eastern, New Delhi.
2. Basu, A.K. (1999). : Measure Theory and Probability, Prentice Hall of India Pvt. Ltd.
3. Billingsley, P. (1986) : Probability and Measure. Wiley, New York
4. Burrill, C.W. (1972). : Measure, Integration and Probability, McGraw-Hill Education.
5. Chung, K.L. (2001). : A course in Probability Theory, Second Revised Edition Academic Press.
6. Loeve, M. (1978). : Probability Theory 1, Fourth Edition, Graduate Texts in Mathematics-45
Springer Verlag.

ADITIONAL REFERENCES:

1. Robert, A. (1972). : Real Analysis and Probability. Academic Press.


2. Athreya K.B. and Lahiri : Measure Theory and Probability Theory, Springer
S.N. (2010):
3. Dudley, R.M. (1989). : Real Analysis and Probability, Wadsworth and Brooks/Cole.
4. Fristedt, B. and Gray, : A Modern Approach to Probability, Birkhauser.
L. (1997).
5. Kallenberg, O. (2000) : Foundations of Modern Probability, Second Edition, Springer-Verlag
6. Kingman, J. F. C. & Taylor, : Introduction to Measure and Probability. Cambridge Univ. Press.
S.J. (1966).
7. Laha, R.G. and Rohatgi, V.K. : Probability Theory, John Wiley & Sons, New York.
(1979).
34
M 7: OPERATIONS RESEARCH (4 Credits)
(Theory 3/4, Practical 1/4) Theory Final Examination : 60 Marks
Theory Internal Assessment : 15 Marks
Practical : 25 Marks

Objective: Operations Research deals with the application of scientific methods and
techniques to decision-making problems. A decision-making problem occurs where there are
two or more alternative courses of action, each of which leads to a different and sometimes
unknown end result. Operations research is also used to maximize the utility of limited
resources. The objective is to select the best alternative, that is, the one leading to the best
result. It has applications in the management and administration of military, government,
commercial, and industrial systems. It also helps in resource allocation and replacement,
inventory control and scheduling of large-scale construction projects.

Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.

ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.

UNIT-I

Origin and development of operations research (O.R), modelling in O.R., applications of O.R.,
opportunities and shortcomings of O.R.

Formulation of linear programming problem (LPP), graphical solution to LPP, properties of a solution
to the (LPP), generating extreme point solutions. The simplex computational procedure, development
of minimum feasible solution, a first feasible solution using slack variables, The artificial basis
technique: Two phase method and Charnes M-method with artificial variables. The duality problem of
linear programming and its economic interpretation.

UNIT-II

Transportation and assignment problems. Sensitivity analysis, network flow problem. Game theory
problem as a linear programming problem, Integer programming.

Replacement models, Sequencing theory, inventory models with single and multiple periods.

35
REFERENCES:

1. Hillier, F.S. and : Introduction to Operations Research; Ninth Revised Edition,


Liebermann, G.J.(2009) Mcgraw Hill, Higher Education
2. Gass, S. I.(2010) : Linear Programming, Methods and Applications, 5th Ed., Dover Books
3. Sivazlian, B.D. and : Analysis of Systems in Operations Research, Prentice Hall International.
Stanfel, L.E.(1975)
4. Swarup, K. Gupta, P.K. : Operations Research, Sultan Chand and Sons.
and Singh, M.M. (2005).

ADDITIONAL REFERENCE:

1. Gass S.I. (2003) : All Illustrated Guide to Linear Programming Dover Publications
2. Taha, H.A.(2008) : Operations research: An Introduction, 4th Ed., Dorling Kindersley
(India) Pvt. Ltd.

3. Ravindran, A., Philips, : Operations Research, Principles and Practice 2nd Ed., Wiley.
D.T., and Solberg, J.(1987)
4. Heardly, G. (1962) : Linear Programming.

36
M 8: REAL & COMPLEX ANALYSIS (4 Credits)
Final Examination : 80Marks
Internal Assessment : 20 Marks

Subject: This course provides help to understand the mathematical concept of convergence and its
mathematical formalisms. Students will be able to use some fundamental theorems of mathematical analysis.
Students will have knowledge of the special character of functions of a complex variable and their properties
during this course.

Note:- The question paper will consist of nine questions carrying equal marks. The first question will
be compulsory containing short answer type questions covering the entire syllabus and with no
internal choice. Unit-I will have on Real Analysis and Unit-II will have three questions on Complex
Analysis. A candidate will be required to attempt five questions in three hours duration, including the
first compulsory question and two questions from each Unit.

UNIT-I

Sequence of sets, limit sup and limit inf of a sequence of sets. Countable and uncountable sets, open and closed
intervals (rectangles), compact sets, Bolzano-Weirestrass theorem (statement only). Heine – Borel theorem
(statement only). Properties of continuous functions on compact sets.

Functions of bounded variation and their properties. Riemann-Stieltjes integral. Integration by parts, change of
variable. Mean value theorems. Differentiation under integral sign. Term-by-term differentiation and integration
of an infinite series of functions.

Fourier series of a function relative to an orthogonal system of functions, convergence of Fourier series to its
defining functions.

UNIT-II

Complex Numbers, geometrical representation of complex numbers, functions of a complex variable,


differentiability and analyticity, Cauchy-Riemann conditions.
Elementary, exponential and logarithmic functions.

Power series, radius of convergence, differentiation of a power series, Taylor’s and Laurent’s series,
Residues. Integration of a function of a complex variable, Cauchy’s theorem and Cauchy’s Integral
theorem (Statement and applications only).
Applications of Residues: Evaluation of definite and improper integrals.

REFERENCES:

1. Apostol, T. (1985) : Mathematical Analysis, 2nd Edition.


2. Narayan, S. (1973) : A Course of Mathematical Analysis, 10th Revised Edition.
3. Rudin, W. (1976) : Principles of Mathematical Analysis, McGraw Hill.
4. Brown, J.W., and : Complex variables and its applications (Sixth Edition).
Churchill, R.V. (1996) McGraw-Hill Publishing Company.

ADDITIONAL REFERENCES:

Courant, R. and John, F. (1985) : Introduction to Calculus and Analysis, Wiley.


Shirali,S.& Vasudeva, : Mathematical Analysis, Narosa Pub.
H.L..(2006)
Goldberg, R.R. (1976) : Mathematical & Real Analysis, 2nd Ed., Oxford & IBH Pub.
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M 9: RELIABILITY (4 Credits)
Final Examination : 80 Marks
Internal Assessment: 20 Marks

Objective: This course covers the main statistical methods used in reliability and life data
analysis. The main distributions used in reliability data analysis are overviewed. The ageing properties
of different distributions are explored. A course in reliability helps in probabilistic modeling of the
reliability of systems with multiple components and statistical modeling of reliability of individual
components based on lifetime data

Note:- The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.

UNIT-I
Reliability concepts and measures: components and systems, coherent systems, reliability of
coherent systems, cuts and paths, modular decomposition, bounds on system reliability, structural and
reliability importance of components.
Life distributions and associated survival, conditional survival and hazard rate functions. Exponential,
Weibull, gamma life distributions and estimation of their parameters.

UNIT-II

Notions of ageing: IFR IFRA, NBU, DMRL, NBUE, and HNBUE classes; their duals and
relationships between them. Closures of theses classes under formation of coherent systems,
convolutions and mixtures.
Partial orderings: convex, star, stochastic, failure rate and mean-residual life orderings.
Univariate shock models and life distributions arising out of them.

Maintenance and replacement policies, availability of repairable systems.

REFERENCES:
1. Barlow R.E. and : Statistical Theory of Reliability and Life Testing, Holt,
Proschan F. (1985) Rinehart and Winston.

2. Lawless, J.F. (1982) : Statistical Models and Methods of Life Time Data, John
Wiley Models, Marcel Dekker.

3. Shaked, M. and : Stochastic Orders & Their Applications, Academic Press.


Shanthikumar, J.G. (2007)

ADDITIONAL REFERENCES:

1. Nelson, W (1982) : Applied Life Data analysis; John Wiley Stochastic orders
and their Application, Academic Press.

2. Zacks, S. (1992) : Introduction to Reliability Analysis: Probability Models and


Statistical Methods, Springer Text in Statistics.

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M 10: SIMULTANEOUS INFERENCE (4 Credits)

Final Examination : 80 Marks


Internal Assessment: 20 Marks

Objective: Demoralization of two sample problems to multi-sample (k-sample) problem, testing of


related several hypotheses simultaneously at a pre-specified level and construction of simultaneous
confidence intervals at a pre-specified confidence level for various parametric functions are the main
objective of the course.

Note:- The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.

UNIT-I

Introduction to simultaneous inference, error rates, Bonferroni inequality, p-mean significance levels,
basic techniques of multiple comparisons and their geometrical interpretation for the case of two
means.
Studentized range, Scheffe’s F-projections, Bonferroni t-statistics, studentized maximum modulus,
many-one t-statistics, Duncan’s multiple range test, Newman-Keuls test, Fisher’s LSD test, Tukey’s
gap-straggler-variance test.

UNIT-II

Two-sample confidence intervals of predetermined length, and improved Bonferroni inequality.


Many-one sign statistics, k-sample sign statistics, many-one rank statistics, k-sample rank statistics,
signed-rank statistics, Kruskal-Wallis rank statistics, Friedman rank statistics, and permutation test.
Multivariate techniques: Single population with covariance scalar unknown, single population with
covariance matrix unknown.

REFERENCES:
1. Miller, R.G. (Jr.) (2012) : Simultaneous Statistical Inference, Springer-Verlag,
Chapters 1, 2, 4, 5 (Sections 5.1 and 5.2)
2. Hockberg, Y. and : Multiple Comparison Procedures John Wiley
Tamhane, H.C. (2009) (New York)

3. Federer, W.T. : Experimental Design, Oxford and IBH, Chapter II-1.

ADDITIONAL REFERENCES:

1. Hsen, J.C. (1996) : Multiple Comparisons- Theory and Methods,


Chapman and Hall (New York)

2. Gupta, S.S. and Panchapakeson,S. : Multiple Decision Procedures-Theory and


(2002) Methodology of Selecting and Ranking Populations
John Wiley and Sons (New York)

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M 11 : STATISTICAL SIMULATION AND COMPUTATION
(Theory 1/2, Practical 1/2) (4 Credits)
Theory Final Examination : 40 Marks
Theory Internal Assessment : 10 Marks
Practical : 50 Marks

Objective: This course introduces programming language ‘C’ and Students learn to write ‘C’
programs for the algorithms described in Simulation. Students also learn Pattern Recognition using
Statistical Concepts and they are encouraged to give seminars from this.
The study of Simulation is done using Computers.

Note:- i) The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.

ii) The practical question paper shall consist of five questions and a candidate will be required to attempt
any three questions in four hours duration.
iii) Students will give Seminars from Pattern recognition of Unit-I.

UNIT-I
‘C’ Programming: Introduction, constants, variables, keywords, Arithmetic Statements, Hierarchy of
operations, Input/Output statement, control statements: Decision control statements, Loops (for, while,
do-while), goto statement, Case control structure, Functions, Pointers, Recursion, Arrays, Strings,
Structures, File handling.

Simulation: Introduction, Systems, Models, types of models, need of simulation, Monte Carlo
method, physical versus digital simulation: Buffen’s needle problem.

Random Number Generation: Mid square method, Congruential generators, Shift generator,
statistical tests for pseudo random numbers.

Pattern Recognition: Introduction, Basic Concepts, Fundamental problems, Design concepts and
methodologies, Examples of automatic systems, Pattern Recognition model, and Pattern classification
by likelihood functions.

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UNIT-II

Random Variate Generation: Inverse transformation method, Acceptance-Rejection method,


Composition method. Simulation of Random vectors, Multivariate transformation method, Generation
from Multinormal distribution, Generating random variates from continuous distributions.

Monte Carlo integration: Hit or miss Monte Carlo method, sample mean Monte Carlo method,
Efficiency of Monte Carlo method.

Variance Reduction Techniques: Introduction, Importance sampling, Correlated sampling, Control


variates, Stratified sampling.

REFERENCES:
1. Rubinstein, R.Y. (1981) : Simulation and Monte Carlo Method, John Wiley & Sons.

2. Lewis, P.A.W. & Orav, E.J. : Simulation Methodology for Statisticians, Operations
(1988) Analysis and Engineers, Volume I, Wadsworth & Brooks/
Statistical/Probability Cole, Series.

3. Kanetkar, Y. (2010) : Let Us C, BPB publications.

4. Gottfried, B.S. (1997) : Schaum’s outline Programming with C, Chapters 1-9.

5. Julius, T.T. and : Pattern Recognition Principles, Addison –Wesley


Gonzalesz, R.C. (1997) Publishing Company.

ADDITIONAL REFERENCES:

1. Narshingh, D. (1991) : System Simulation with Digital Computer, Prentice Hall


of India Pvt. Ltd., New Delhi.
2. Gorden, G. (2001) : System Simulation, Prentice Hall of India, N.D.

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M 12: STOCHASTIC PROCESSES (4 Credits)
Final Examination : 80Marks
Internal Assessment : 20 Marks

Objective: The main objective of this course is to apprise the students about the existence of
several stochastic processes in real life situations and to equip them with the techniques to
study their statistical behaviour as a sequence of dependent random variables.
Note:- The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions from
each unit in three hours duration. The compulsory question shall contain short answer type questions
covering the whole syllabus with no internal choice.

UNIT-I

Introduction to Stochastic Processes. Classification of stochastic processes according to state space


and time domain. Processes with independent increments, stationary processes. Markov chains,
classification of states of a Markov chains, Chapman-Kolmogorov equations, n-step transition
probability matrices and their limits, stationary distribution. Random walk and gambler’s ruin
problem.

UNIT-II

Applications of stochastic processes. Stationarity of stochastic processes, autocorrelation, power


spectral density function.
Poisson process, birth and death processes, Elementary Queueing Models: M/M/1, M/M/c models.
Renewal theory: Renewal process, elementary renewal theorem and applications. Statement and uses
of key renewal theorem.

Branching process: Galton-Watson branching process, probability of ultimate extinction, distribution


of population size.

REFERENCES:

1. Karlin, S. and Taylor, : A First Course in Stochastic Processes, Vol.1,


H.M. (1975) Academic Press.

2. Medhi, J. (1994) : Stochastic Processes, Wiley Eastern.

3. Ross, S.M. (1996) : Stochastic Processes. Wiley Publications.


4. Adke, S.R. and : An Introduction to Finite Markov Processes, Wiley Eastern
Manjunath, S.M. (1984)

5 Gross D. and Harris C.M. (2008) : Fundamentals of Queueing Theory, Third Edition
Wiley India Private Limited.
ADDITIONAL REFERENCE:

1. Bhat, B.R. (2000) : Stochastic Models: Analysis and Applications, New Age
International, India. Chapter 13 (13.1-13.3).

2. Cinlar,E. (1975) : Introduction to Stochastic Processes, Prentice Hall.


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3. Cox D.R. and Smith W.L. : Queues, CRC Press
(1999)

4. Feller, W. (2008) : Introduction to Probability Theory and its Applications,


Vol.1, Third Edition, Wiley India.
5. Jagers, P. (1975) : Branching Processes with Biological Applications, John Wiley
and Sons.
6. Harris, T.E. (1963) : The Theory of Branching Processes, Springer – Verlag.

7. Hoel, P.G., Port S.C. and : Introduction to Stochastic Processes, Houghton Miffin & Co.
Stone, C.J. (1972)

43
M 13: SURVIVAL ANALYSIS (4 Credits)

Final Examination: 80 Marks


Internal Assessment: 20 Marks
Objective: The course gives the application of statistics in handling survival data. The course
introduces the concept of censoring and the various distributions used to analyse such data.
Various models are also suggested to deal with survival data.

Note:- The question paper will consist of nine questions carrying equal marks. A candidate will
be required to attempt five questions including the first compulsory question and two questions
from each unit in three hours duration. The compulsory question shall contain short answer type
questions covering the whole syllabus with no internal choice.

UNIT-I

Concepts of Type-I (time), Type-II (order) and random censoring likelihood in these cases. Life
distributions, exponential, gamma, Weibull, lognormal, Pareto, linear failure rate. Inference for
exponential, gamma, Weibull distributions under censoring.

Failure rate, mean residual life and their elementary properties. Ageing classes and their properties,
bathtub failure rate.

UNIT-II

Estimation of survival function – Actuarial estimator, Kaplan –Meier estimator, Tests of


exponentiality against non-parametric classes: Total time on Test, Deshpande Test.

Two sample problem: Gehan test, Log rank test. Mantel-Haenszel test, Cox’s proportional hazards
model, competing risks model.

REFERENCES:

1. Cox, D.R. and Oakes, D.(1984) : Analysis of Survival Data, Chapters 1, 2, 3,4.
Taylor and Francis

2. Crowder M. J.(2001) : Classical Competing Risks, Chapman & Hall, CRC,


London.
3. Miller, R.G. (1998) : Survival Analysis, Second Edition, Wiley Interscience.

ADDITIONAL REFERENCES:

1. Gross, A.J. & Clark, V.A.(1976) : Survival Distributions-Reliability Applications in Bio-


medical Sciences, Chapters 3,4, John Wiley and Sons.

2 Kalbfleisch J.D. and : The Statistical Analysis of Failure Time Data, John
Prentice R.L. (1980) Wiley and Sons.

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