The Shrinkage Variance Hotelling T^2 Test for Genomic Profiling Studies
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Designed gene expression micro-array experiments, consisting of several treatment levels with a number of replicates per level, are analyzed by applying simple tests for group differences at the per gene level. The gene level statistics are sorted and a criterion for selecting important genes which takes into account multiplicity is applied. A caveat arises in that true signals (genes truly over or under expressed) are "competing" with fairly large type I error signals. False positives near the top of a sorted list can occur when genes having very small fold-change are compensated by small enough variance to yield a large test statistic. One of the first attempts around this caveat as the development of "significance analysis of micro-arrays (SAM)", which used a modified t-type statistic thresholded against its permutation distribution. The key innovation of the modified t-statistic was the addition of a constant to the per gene standard errors in order to stabilize the coefficient of variation of the resulting test statistic. Since then, several authors have proposed the use of shrinkage variance estimators in conjunction with t-type, and more generally, ANOVA type tests at the gene level. Our new approach proposes the use of a shrinkage variance Hotelling T-squared statistic in which the per gene sample covariance matrix is replaced by a shrinkage estimate borrowing strength from across all genes. It is demonstrated that the new statistic retains the F-distribution under the null, with added degrees of freedom in the denominator. Advantages of this class of tests are (i) flexibility in that a whole family of hypothesis tests is possible (ii) the gains of the above-mentioned earlier innovations are enjoyed more fully. This paper summarizes our results and presents a simulation study benchmarking the new statistic against another recently proposed statistic.
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