Bayesian Statistical Analysis and Application of Masked Data based on Pareto Distribution

In this paper Bayesian statistical analysis of masked data isconsidered based on the Pareto distribution. The likelihood function is simplified byintroducing auxiliary variables, which describe the causes of failure. Three Bayesianapproaches (Bayes using subjective priors, hierarchical Bayes and empirical Bayes) areutilized to estimate the parameters, and we compare these methods by analyzing a realdata. Finally we discuss the method of avoiding the choice of the hyperparameters inthe prior distributions.