Obtaining Strata Boundaries under Proportional Allocation with Varying Cost of Every Unit

Faizan Danish, S.E.H. Rizvi, M. Iqbal Jeelani, Javaid Ahmad Reashi
2017 Pakistan Journal of Statistics and Operation Research  
One of the main reasons for stratifying the population is to produce a gain in precision of the estimates, in the sample surveys. For achieving this, one of the problem is determination of optimum strata boundaries. The strata boundaries should be obtained in such a way, so that it can reasonably expect to reduce the cost of the survey as much as possible without sacrificing the accuracy or alternatively, reducing the margin of error to the greatest possible extent for the same expected cost.
more » ... me expected cost. In this paper, we have discussed the way of obtaining optimum strata boundaries when the cost of every unit varies in the whole strata. The problem is formulated as non-linear programming problem which is solved by using Bellman's principle of optimality. For numerical illustration an example is presented for uniformly distributed study variable.
doi:10.18187/pjsor.v13i3.1719 fatcat:hm4pzsm32bgbrixs3rtwy6jnm4