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Estimates with lme(...varPower())

"Dieter Menne" <dieter.menne at menne-biomed.de> writes:
It would be more common to use the predicted response rather than the
observed response for the varPower weights, as in 
 varPower(form = ~fitted(.))

If you use the observed responses then abnormally low observed
responses will have unusually high weights in the fit, leading to low
predictions, as you observed.