Combining Information from Various Sources: A Prediction Problem and Other Industrial Applications
Hahn, G.J., and Trivellore Raghunathan. 1988. "Combining Information from Various Sources: A Prediction Problem and Other Industrial Applications." Technometrics, 30(1): 41-52.
Industrial problems frequently require estimates from various sources of information. For example, one may need to predict the tensile strength of a future bar from a particular casting based on limited data on other bars from that casting and extensive data on bars from other castings. Or one may wish to estimate the true viscosity of a batch of material based on a single measurement for the current batch, subject to appreciable measurement error, and similar readings on a large number of other batches. Simple weighting functions that use all of the data provide point estimates for these two problems, and a Bayesian framework yields associated interval estimates. Other applications and possible generalizations are also suggested.
http://links.jstor.org/sici?sici=0040-1706%28198802%2930%3A1%3C41%3ACIFVSA%3E2.0.CO%3B2-B
Keywords:
Bayesian methods
Kalman filter
Pooling data
Prediction intervals
Random-effects models