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Mixture models with an improper component

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A class of mixture models in which a component is associated with an improper distribution is introduced. This component is intended mainly for outliers. The models are motivated by the EM algorithm, and are fitted by its simple adaptation. They are illustrated on several examples with large samples, one of them about transactions of residential properties in Wellington, New Zealand, in 2006.
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Keywords: EM algorithm; clustering; improper component; improper density; outliers

Document Type: Research Article

Affiliations: 1: Departament d'Economia i Empresa,Universitat Pompeu Fabra, Ramon Trias Fargas 25–2708005Barcelona, Spain 2: Dipartimento di Analisi Economiche e Sociali,Sapienza–Universita di Roma, Piazza Aldo Moro 500185Rome, Italy

Publication date: November 1, 2011

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