We propose an extension of the generalized bivariate Marshall-Olkin model assuming dependence between the random variables involved. Probabilistic, aging properties, and survival copula representation of the extended model are obtained and illustrated by examples. Bayesian analysis is performed and possible applications are discussed. A dual version of extended Marshall-Olkin model is introduced and related stochastic order comparisons are presented.
IntroductionA variety of bivariate (multivariate) extensions of the univariate exponential distribution have been considered in the literature. These include the distributions of [6,10,11,24], see a full review in [2].The vector (X 1 , X 2 ) meets the Marshall-Olkin model (MO hereafter) whenever it admits the stochastic representationwhere the random variables T i are independent and exponentially distributed with parameters λ i > 0, respectively, i = 1, 2, 3. The random variables T 1 and T 2 in (6.1) can be interpreted as the arrival time of individual shocks for two different components, while T 3 represents the time of arrival of a shock common to both components. Several applications of (6.1) can be mentioned. In reliability theory it can describe the lifetime of a system of two components operating in a random environment and subject to three independent