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overdispersion with binomial data?

Although the idea that binary data cannot be overdispersed by 
definition sounds reasonable, in fact this means little.

Consider a grouped data study with each group having an n and x 
corresponding to trials and successes in the group. This leads to 
overdispersion typically, because of positive correlation in the group.

New "explode" the groups into individual binary data, with n such 
data for each group and x success rows and n-x failure rows. The 
resulting binary cannot "by definition" be overdispersed.

This is, however, just a pea-in-shell game. The overdispersion in the 
first dataset is now clustering in the second dataset. The cluster 
variable is "group". The same effect is there, just as a different 
term in the model.

Including an "observation" variable to deal with overdispersion is 
equivalent to adding the same clustering variable in the binary dataset.

"What's in a name? That which we call a rose by any other name would 
smell as sweet."

"There is no such thing as a free lunch."
At 08:00 AM 2/12/2011, Jarrod Hadfield wrote:
================================================================
Robert A. LaBudde, PhD, PAS, Dpl. ACAFS  e-mail: ral at lcfltd.com
Least Cost Formulations, Ltd.            URL: http://lcfltd.com/
824 Timberlake Drive                     Tel: 757-467-0954
Virginia Beach, VA 23464-3239            Fax: 757-467-2947

"Vere scire est per causas scire"