Past exam of the mathematics course of the University of Cambridge 2019 ii Paper 1 13J b Solution Created 2026-09-24 Updated 2026-09-29
Write and . Under the model in part (a),and is independent of the price category . The Poisson-multinomial conditioning identity givesMore explicitly, the likelihood function for row factors asThe first factor is the likelihood of the row total and the second is the conditional multinomial likelihood. The free price effect makes the first factor maximal at , while maximizing the remaining factors givesConsequently both fits have the same maximum-likelihood fitted valueHere every row total is , the column totals are , and , so every fitted row isThis factorization is the Poisson trick.