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understanding log-likelihood/model fit

On 20/08/2008, at 11:01 PM, Daniel Ezra Johnson wrote:

            
Because your generated data has only a fixed effect, so the estimated  
random effect is zero. This is the same as if you generated data of  
the form y=x, it would be expected to fit with an intercept of close  
to zero. Someone else supplied an example of adding a random effect  
which, of course, will result in a fitted random effect of greater  
than zero.
The residual variance is slightly lower for the second model  
explaining the better fit. Knowing about the fixed effects helps but  
not much.

The fitted are similar, but there is reasonable variation. It will  
always be better (in terms of likelihood and as a rule) to fit the  
correct model. What is nice is that the model with only a random  
effect gives sensible results, so in many situations I don't need to  
know why the clusters vary and departures from normality don't seem to  
matter much.

Ken