Abstract:
Studying the association between random variables is an important subject in
statistical analysis. In the case of circular variables where their ranges are bounded; special
type of regression models are needed.
This study has shed the light on some regression models of circular variables. Due the
desirable characteristics of the wrapped Cauchy distribution; a new simple linear model for
circular variables with a wrapped Cauchy distribution error is proposed. The maximum
likelihood estimates for model parameters are obtained via an iterative procedures and the
standard error of estimates as well as their confidence intervals are obtained by bootstrap
methods. The accuracy of estimates are investigated via a simulation study, where the
unbiasness, consistency and robustness are verified.
For illustration purposes, a real data set contains the average monthly wind directions
in two main cities in the Gaza Strip has been analyzed and modeled by the proposed method.