Physical Sciences and Mathematics Commons^™

Pooling Of Variances: The Skeleton In The Mixed Model Closet?, Philip M. Dixon

Conference on Applied Statistics in Agriculture and Natural Resources

I explore three related issues concerning pooling of error variances: when is it appropriate (or not) to pool, how best to evaluate equality of variances, and whether there is a cost to never pooling. I focus on pooling decisions in a combined analysis of a multi-site experiment. A-priori, sites should have different error variances. My primary question is whether an analysis that ignores unequal variances is wrong.

I find that ignoring heteroscedasticity between sites maintains, or provides slightly conservative, tests of average treatment effects and treatment-by-site interactions. Models with site-specific variances do provide more powerful tests when variances are different. …