REGIONAL INCOMES STRUCTURE ANALYSIS IN SLOVAK REPUBLIC ON THE BASIS OF EU-SILC DATA

Size: px
Start display at page:

Download "REGIONAL INCOMES STRUCTURE ANALYSIS IN SLOVAK REPUBLIC ON THE BASIS OF EU-SILC DATA"

Transcription

1 Scentfc Annals of Economcs and Busness 64 (), 07, 7-85 DOI: 0.55/saeb REGIONAL INCOMES STRUCTURE ANALYSIS IN SLOVAK REPUBLIC ON THE BASIS OF EU-SILC DATA Mlan TEREK * Abstract The paper deals wth the regonal ncomes structure analyss n Slovak republc on the bass of European Unon statstcs on ncome and lvng condtons n Slovak republc data. The emprcal probablty mass functon and emprcal cumulatve dstrbuton functon s constructed wth ad of gven samplng weghts. On the bass of these functons the medan, medal, standard devaton and populaton hstogram of the whole gross household ncomes for the whole Slovak republc and separately for eght Slovak regons are estmated and compared. Keywords: regonal ncomes structure, samplng weghts, emprcal probablty mass functon, emprcal cumulatve dstrbuton functon JEL classfcaton: C83, R9. INTRODUCTION The regonal structure of ncomes n Slovak republc wll be analyzed on the bass of data from the European Unon Statstcs on Income and Lvng Condtons (EU-SILC) realzed n Slovak republc n the year 04. EU-SILC s an nstrument amng at collectng tmely and comparable cross-sectonal and longtudnal multdmensonal mcrodata on ncome, poverty, socal ecluson and lvng condtons. Ths nstrument s anchored n the European Statstcal System. The start of the EU-SILC nstrument was n 004 for the EU- 5. In Slovak republc EU-SILC s yearly realzed from the year 005. In general EU-SILC data are the data from comple survey. The survey contanng more components such as random samplng, stratfcaton, clusterng and so on s obvously called comple survey. A survey may be stratfed wth several stages of clusterng and rely on rato and regresson estmaton to adjust for other varables. In these cases samplng weghts based on aulary nformaton are commonly used to provde the correct results. The analyss of the regonal structure of ncomes n Slovak republc based on usng samplng weghts wll be studed n the paper. The usng samplng weghts n constructon * Department of Statstcs, Unversty of Economcs n Bratslava, Slovaka; e-mal: mlan.terek@gmal.com.

2 7 Terek, M. of emprcal probablty mass functon and emprcal cumulatve dstrbuton functon wll be descrbed. On the bass of these functons the estmaton of populaton hstogram, medan, medal and standard devaton of the whole gross household ncomes for the whole Slovak republc and separately for eght domans Slovak regons was realzed.. MATERIAL AND METHODS There are a lot of papers concernng the ncomes dstrbuton estmaton and structure analyss, studyng these problems from dfferent regards. For eample n Kloek and van Djk (978) the estmaton of ncome dstrbuton parameters s studed. The parameters of several famles of dstrbutons are estmated by means of mnmum. The approach s appled on random samples taken from Dutch ncome-earnng groups n 973. In Ghosh et al. (996) a general methodology for small doman estmaton based on data from repeated surveys s studed. The results are drectly appled to the estmaton of medan ncome of four-person famles for the 50 states and the Dstrct of Columba n the USA. In Sala--Martn (006), the world dstrbuton of ncome by ntegratng ndvdual ncome dstrbutons for 38 countres between 970 and 000 s effectuated. In Dowrck and Akmal (005) the global ncome nequalty s studed. In Wang and Woo (0) the sze and dstrbuton of hdden household ncome n Chna are analyzed. In Cowell and Flachare (007) the statstcal performance of nequalty ndces n the presence of etreme values n the data s analyzed. It s shown that these ndces are very senstve to the propertes of the ncome dstrbuton. Estmaton and nference can be dramatcally affected, especally when the tal of the ncome dstrbuton s heavy, even when standard bootstrap methods are employed. In Atknson and Salverda (005) a method for usng ncome-ta data to nvestgate the evoluton of the hghest ncomes over vrtually the entre 0 th century s developed. In Chotkapanch et al. (007) the natonal and regonal ncome dstrbutons are estmated wthn a general framework that relaes the assumpton of constant ncome wthn groups. A technque to estmate the parameters of a beta- dstrbuton usng grouped data s proposed. Dstrbutons of ncomes or wages are obvously skewed and outlers 3 are present. Then, the nterpretaton power of the mean s very small 4. Generally n such dstrbutons the mean s not consdered as approprate measure of central tendency. Then the mean ncome s not convenent measure of typcal ncome. The medan s generally consdered as good measure of central tendency n such dstrbutons because of ts stablty and robustness toward outlers. Alternatvely some non-tradtonal measures of locaton could be also nterestng as good measures of central tendency for such dstrbutons. The usng of the trmmed mean (Pegorsch, 05, p. 55), Wnsorzed mean or M-estmators s recommended 5. Interestng results provdes also tradtonal measures of central tendency appled on the data set from whch the outlers were removed 6. Sometmes the standard statstcal methods supposng the ndependence and dentc dstrbuton of observatons are appled to the data from comple surveys. In Lohr (00, pp ) s stated: When you read the paper or book n whch the authors analyze data from the comple survey, see whether they accounted for the data structure n the analyss, or whether they smply ran the raw data through non-survey statstcal package procedure and reported the results. If the latter, ther nferental results must be vewed wth suspcon.

3 Scentfc Annals of Economcs and Busness, 07, Vol. 64, Issue, pp Samplng weghts The samplng weghts 7 allow to construct an emprcal dstrbuton for the populaton 8. On the bass of ths dstrbuton the estmaton of medan and other quantles 9, medal, standard devaton and populaton hstogram s also possble. The samplng weghts can be calculated usng aulary nformaton. Suppose we know the sze N of fnte populaton U. Symbol denotes varable under study and also ts values, U =,,...N s the set of unt ndees n the populaton. Symbol S denotes sample from the populaton subset contanng n unts from U. Let's be the probablty that unt U wll be n random sample. Samplng weghts for any samplng desgn are defned as follows: w () Samplng weght of unt can be nterpreted as number of unts n the populaton represented by unt. The estmators of the parameters n cluster samplng, stratfed samplng, and other samplng desgns ncludng ts combnatons such as for eample multstage stratfed samplng can be epressed by samplng weghts. These weghts can be modfed n regard to nonresponse and coverage error 0. Samplng weghts for all observatons unts are equal n self-weghtng surveys. Each observed unt represents the same number of unobserved unts n the populaton. Samplng weghts are not equal for all observatons unts n non-selfweghtng surveys. If the sample s non-self-weghtng, pont estmates of means, totals and other quanttes produced by standard statstcal software wll be based. It s the case also n mentoned applcaton. The EU-SILC sample s non-self-weghtng. The capturng the structure of data s necessary n pont estmaton of populaton quanttes. The usng of samplng weghts s needed.. Estmatng an emprcal probablty mass functon and emprcal cumulatve dstrbuton functon Suppose the values for the entre populaton of N unts are known. A value of probablty mass functon (PMF) n s N p () N where N s number of unts whose value s. A value of cumulatve dstrbuton functon (CDF) n s y F p (3) y

4 74 Terek, M. Note that t s probablty mass functon and cumulatve dstrbuton functon of observaton from the populaton because the model-free or dstrbuton-free approach to sample survey s under consderaton. Samplng weghts allow to construct emprcal probablty mass functon and emprcal cumulatve dstrbuton functon. Emprcal probablty mass functon pˆ s defned by the sum of weghts for all observatons takng on the value dvded by the sum of all the weghts: w S ; pˆ (4) w S Emprcal cumulatve dstrbuton functon Fˆ s y Fˆ pˆ (5) y.3 Plottng data from a comple survey One from the smplest plots dsplayng the data dstrbuton s hstogram. If a sample s self-weghtng, a regular hstogram of the sample data wll estmate the populaton probablty mass functon. If a sample s non-self-weghtng the samplng weghts are used to construct a hstogram that estmates the populaton hstogram. The range of the data s dvded nto k classes wth each class havng wdth b. The heght of the hstogram n class j s Heght (j) = w u S b w where u j = f observaton s n class j and 0 otherwse. The denomnator n formula ensures that the total area under the hstogram equals. Such heghts are obvously called the denstes of relatve frequences (Wonnacott and Wonnacott, 984, p. 07). S.4 Estmatng of some populaton quanttes The populaton parameters can be calculated on the bass of probablty mass functon. For eample populaton varance s j (6) N K N p N p p K p p where s populaton mean. K N (7)

5 Scentfc Annals of Economcs and Busness, 07, Vol. 64, Issue, pp Any populaton quantty can be estmated from the emprcal probablty mass functon pˆ or from emprcal cumulatve dstrbuton functon Fˆ. For eample populaton varance can be estmated by: ˆ pˆ pˆ (8) K The fnte populaton medan s defned to be value ~ satsfyng F ~ f such a value ests. Otherwse, a populaton medan s any value n the nterval ~, ~, where ~ s the largest value of n the populaton wth ~ s smallest value of wth F < and F >. In general, Q s 00 p % quantle (percentle) f p F Q p = p, f such a value ests, otherwse, Q a,b where a s the largest populaton value of wth F < p p and b s the smallest value of wth F > p. If p <, Q s the smallest value of and p N f p > N, Q s the largest value of. p Populaton quantles are estmated as follows. Snce the emprcal cumulatve dstrbuton functon Fˆ s a step functon, the nterpolaton s usually needed to fnd a unque value for the quantle. Let y be the largest value n the sample for whch F ˆ y p and let y s smallest value n the sample for whch ˆ y F p. Then: Qˆ = y p + Fˆ p Fˆ y ˆ y y y F y (9) We wll formulate the relatons enablng to estmate medal wth ad of samplng weghts. Medal (Ml) s such value for whch the sum of varable values less or equal to Ml s equal to the half of varable total. It can be proven that f all values of varable are nonnegatve then: Ml Q (Dagnele, 998, p. 8). The sum of varable values for all 0, 5 observatons takng on the value we wll call the class total. The medal s calculated as medan but on the bass of class totals nstead of frequences. Emprcal probablty mass functon ˆ n ths case can be defned as: p Ml S ; pˆ Ml (0) w S w Emprcal cumulatve dstrbuton functon F Ml ˆ s then: y Fˆ Ml pˆ Ml () y

6 76 Terek, M. Let y be the largest value n the sample for whch Fˆ Ml y 0,5 and let value n the sample for whch Fˆ Ml y 0,5. Then the medal can be estmated by: y s smallest Mˆ l = y + 0,5 Fˆ Ml Fˆ y Ml y y y Fˆ y Ml () The medal provdes n some applcaton areas very nterestng nterpretaton possbltes. Note that estmators constructed usng ths method are not necessarly unbased or numercally stable. For eample the estmator ˆ K of the populaton varance s senstve to round off error. Despte of t, the statstcs calculated usng weghts are much closer to the populaton quanttes as n not weghtng case (Lohr, 00, p. 93). 3. ANALYSIS OF REGIONAL STRUCTURE OF INCOMES ON THE BASIS OF EU-SILC 04 DATA The analyss of regonal structure of ncomes was effectuated on the data from the survey EU-SILC realzed n Slovak republc n 04 (EUROSTAT, 007). The stratfed two-stage survey s used n Slovak republc. A stratfcaton was effected wth two stratfcaton varables regon and settlement sze. There are eght regons n Slovak republc. Bratslava, Trnava, Trenčín and Ntra n western Slovaka, Žlna and Banská Bystrca n central Slovaka, Košce and Prešov n eastern Slovaka. The survey EU-SILC 04 was effectuated on the sample of 6,00 households, 5,490 households and 3,433 ndvduals 6 and more years old were ncluded to database. Samplng weghts were calculated and modfed wth respect to nonresponse. These weghts can be used to nference about the populaton of Slovak households. Other modfed samplng weghts nvolve ndvduals. In general EU-SILC sample data are the data from non-self-weghtng survey. Data from EU-SILC 04 are concentrated n many sets. Each household has one dentfcaton number. The analyss of the whole gross household ncomes n eght domans Slovak regons was realzed. The mentoned regons correspond wth values of one from stratfcaton varables. Frstly the matchng of needed data samplng weghts and whole gross household ncomes was effected accordng to household numbers. Then the matched data were dstrbuted accordng to regons. Eght sets of data were obtaned, one for each regon. Each regon was analyzed separately. The values of the emprcal probablty mass functon were calculated accordng to (4) and on the bass of that the values of the emprcal cumulatve dstrbuton functon were calculated by relaton (5) for the whole Slovak republc and separately for each regon. The estmate of medan whole gross household ncome was calculated accordng to relaton (9) for the whole Slovak republc and separately for each regon. The estmate of populaton medan whole gross household ncome for the whole Slovak republc n the year 04 equals 3, euros. The obtaned results for regons are n Table no.. Ths Table contans also the orderng of regons accordng to the medan whole gross household ncome. Then the values of the emprcal probablty mass functon pˆ Ml were calculated accordng to (0) and on the bass of that the values of the emprcal cumulatve dstrbuton functon ˆ were calculated by relaton () for the whole Slovak republc and F Ml

7 Scentfc Annals of Economcs and Busness, 07, Vol. 64, Issue, pp separately for each regon. The estmate of medal whole gross household ncome was calculated accordng to relaton () for the whole Slovak republc and separately for each regon. The estmate of medal whole gross household ncome n 04 for the whole Slovak republc was 0, euros and percentage of households havng ncomes less or equal to medal n Slovak republc was 74.5%. The obtaned results for regons are n Table no.. For eample n the year 04, n regon Bratslava, the half of the ncomes total was dstrbuted among 76.7 % of poorer households (havng ncomes less or equal to 4, euros), the second half of ncomes total was dstrbuted among 3.9 % of rcher households (havng ncomes greater or equal to 4, euros). For eample n regon Banská Bystrca, the half of the ncomes total was dstrbuted among 74,88 % of poorer households (havng ncomes less or equal to 8,30.86 euros), the second half of ncomes total was dstrbuted among 5. % of rcher households (havng ncomes greater or equal to 8,30.86 euros). Regon number Table no. Regonal structure of medan whole gross household ncome n 04 Regon name Estmate of medan whole gross household ncome n 04 (Euros) Order of regon accordng to medan whole gross household ncome Bratslava 4, Trnava 3, Trenčín 4, Ntra, Žlna 4, Banská Bystrca, Prešov 3, Košce 3, Source: own Regon number Table no. Regonal structure of medal whole gross household ncome n 04 Regon name Estmate of medal whole gross household ncome n 04 (Euros) Order of regon accordng to medal whole gross household ncome Percentage of households havng ncomes less or equal to medal Bratslava 4, Trnava 0, Trenčín 0, Ntra 9, Žlna 0, Banská Bystrca 8, Prešov 0, Košce 8, Source: own The dsperson of ncomes n regons was characterzed by standard devaton. The populaton varance was estmated accordng to (8). Then the standard devaton estmate was calculated as square root of varance estmate. The estmate of standard devaton of the whole gross household ncome n 04 for the whole Slovak republc was, euros. The obtaned results for regons are n Table no. 3.

8 78 Terek, M. Table no. 3 Regonal structure of standard devaton of the whole gross household ncome n 04 Regon number Regon name Estmate of Standard devaton of the whole gross household ncome n 04 (Euros) Order of regon accordng to standard devaton of the whole gross household ncome Bratslava 7, Trnava 0, Trenčín, Ntra, Žlna, Banská Bystrca 0, Prešov 0, Košce 8, Source: own Fnally, the samplng weghts were used to construct a hstogram that estmates the populaton hstogram for the whole Slovak republc and for each regon separately. The wdths of classes n hstograms are 0,000 euros. The denstes of relatve frequences n hstograms were calculated accordng to (6). The area of rectangle n the hstogram s equal to relatve frequency. The number of Slovak households n 04 can be estmated by the sum of samplng weghts: w,850,84. When the number of households s known, the S number of households n the classes can be easly calculated. In Table no. 4 are denstes of relatve frequences and numbers of households n defned classes. Table no. 4 Dstrbuton estmatng dstrbuton of Slovak households accordng to the whole gross household ncome n 04 Income (euros) Densty of relatve frequency Number of households -0, ,765 0,000-0, ,063 0,000-30, ,995 30,000-40, ,565 40,000-50, ,54 50,000-60, ,86 60,000-70, ,038 70,000-80, ,38 80,000-90, ,647 90,000-00, ,79 00, ,95 Sum,850,84 Source: own The hstogram estmatng populaton hstogram for the Slovak republc s presented n Fgure no.. As can be seen n Fgure no., the greatest proporton of households n Slovak republc has ncomes less or equal to 0,000 euros, the households havng ncomes greater than 0,000 and less or equal to 0,000 euros are also frequent. The proportons of ncomes greater than 70,000 euros are not dscernble n the hstogram.

9 Scentfc Annals of Economcs and Busness, 07, Vol. 64, Issue, pp Fgure no. Hstogram of the Slovak households dstrbuton accordng to the whole gross ncome n 04 The greatest proporton of households has ncomes less or equal to 0,000 euros also n Bratslava regon (n Fgure no. ), but n ths hstogram also the households havng ncomes greater than 70,000 euros are n dscernble proportons. The number of households n Bratslava regon s estmated to be equal to 45,997. Fgure no. Hstogram of the Bratslava regon households dstrbuton accordng to the whole gross ncome n 04 The greatest proporton of households n the regon Trnava has ncomes greater than 0,000 and less or equal to 0,000 euros (see Fgure no. 3). That s dfference n comparson to the whole Slovak republc and also to Bratslava regon. The dscernable proportons of ncomes greater than 70,000 and less or equal than 80,000 and also greater than 90,000 and less or equal to 00,000 are present n that regon. The number of households n Trnava regon s estmated to be equal to 9,08.

10 80 Terek, M. Fgure no. 3 Hstogram of the Trnava regon households dstrbuton accordng to the whole gross ncome n 04 The greatest proporton of households n the regon Trenčín has ncomes less or equal to 0,000 that s the most frequent are the poorest households but on the other hand there are also the households havng ncomes greater than 00,000 euros n dscernble proporton (see Fgure no. 4). The number of households n Trenčín regon s estmated to be equal to 07,585. Fgure no. 4 Hstogram of the Trenčín regon households dstrbuton accordng to the whole gross ncome n 04 The greatest proporton of households n the regon Ntra has ncomes greater as 0,000 and less or equal to 0,000 euros (see Fgure no. 5). The dstrbuton s very smlar to dstrbuton of Trnava regon, only dfference s the dscernble proporton of the rchest households, havng ncomes greater than 00,000 euros. The number of households n Ntra regon s estmated to be equal to 44,85.

11 Scentfc Annals of Economcs and Busness, 07, Vol. 64, Issue, pp Fgure no. 5 Hstogram of the Ntra regon households dstrbuton accordng to the whole gross ncome n 04 The greatest proporton of households n the regon Žlna has ncomes greater as 0,000 euros and less or equal to 0,000 euros (see Fgure no. 6). There s not the dscernable proporton of households havng ncomes greater than 80,000 euros. The number of households n Žlna regon s estmated to be equal to 8,788. Fgure no. 6 Hstogram of the Žlna regon households dstrbuton accordng to the whole gross ncome n 04 The greatest proporton of households n the regon Banská Bystrca has ncomes less or equal to 0,000 euros (see Fgure no. 7). There s also the dscernable proporton of households havng ncomes more than 80,000 euros. The number of households n Banská Bystrca regon s estmated to be equal to 39,708.

12 8 Terek, M. Fgure no. 7 Hstogram of the Banská Bystrca regon households dstrbuton accordng to the whole gross ncome n 04 Fgure no. 8 Hstogram of the Prešov regon households dstrbuton accordng to the whole gross ncome n 04 The greatest proporton of households n the regon Prešov has ncomes less or equal to 0,000 euros (see Fgure no. 8). There s not the dscernble proporton of households havng ncomes greater than 60,000 euros. On the other hand the proporton of households wth mddle ncomes, for eample greater than 0,000 and less or equal to 30,000 s about 0%, n Banská Bystrca regon only less than 5%. The number of households n Prešov regon s estmated to be equal to 37,454.

13 Scentfc Annals of Economcs and Busness, 07, Vol. 64, Issue, pp Fgure no. 9 Hstogram of the Košce regon households dstrbuton accordng to the whole gross ncome n 04 The greatest proporton of households n the regon Košce has ncomes greater than 0,000 euros and less or equal to 0,000 euros (see Fgure no. 9). There s not the dscernble proporton of households havng ncomes greater than 60,000 euros. The number of households n Košce regon s estmated to be equal to 65, CONCLUSIONS All calculatons were realzed n Ecel 03. The obtaned orderng of regons accordng to medan whole gross household ncome s very nterestng. Obvously the great dfference among Bratslava regon wth the captal of Slovaka Bratslava and the rest of Slovaka s epected. The analyss results show that the dfference between frst Bratslava and second Trenčín regons s not very large. The medan household ncomes of the thrd Žlna, fourth Trnava and ffth Prešov are also very close. There are bgger dfferences among last three regons. The medan whole gross household ncome of Banská Bystrca s surprsngly low. The regons Bratslava, Trenčín, Žlna, Trnava, Prešov have the medan whole gross household ncome greater and the regons Košce, Ntra and Banská Bystrca less than n the whole Slovak republc. In the analyss based on medal whole gross household ncome, the results of regonal orderng are not very dfferent. The frst three places are occuped by the same regons as accordng to medan, the changes n the other places of orderng are only moderate. The regons Bratslava, Trenčín, Žlna, Prešov have the medal whole gross household ncome greater and the regons Trnava, Košce, Ntra and Banská Bystrca less than n the whole Slovak republc. The fndng that n all Slovak regons the half of the ncomes total s dstrbuted among % of poorer households and the second half of ncomes total s dstrbuted among the rest of rcher households s very nterestng. The dfferences among Slovak regons n ths ndcator are only moderate. The regons Bratslava, Ntra and Banská Bystrca have percentage of households havng ncomes less or equal to medal greater and the regons Trnava, Trenčín, Žlna, Prešov and Košce less than Slovak republc percentage.

14 84 Terek, M. The regonal orderng accordng to standard devaton follows appromately the orderng accordng to medan and medal. Only Bratslava regon has markedly greater standard devaton of ncomes 7,74.84 euros, what s natural because ths regon ncludes the captal of Slovaka wth a lot of central nsttutons. Others regons have not very dfferent standard devatons of ncomes. The dstrbuton of Slovak households accordng to the whole gross household ncome n 04 s nterestng on the level of the whole Slovak republc as well as on the level of regons. The obtaned nformaton can be very useful for eample for some marketng studes. The applcaton of correct methodology of estmaton s very mportant n the contet of the data from comple surveys analyses. It s clear that the estmates obtaned wth ad of fnte weghts whch allow the used sample desgn, nonresponse and potentally also coverage error better reflects the realty. Acknowledgements The paper was supported by grants from Grant Agency of VEGA no. /009/5 enttled Modern Approaches to Comple Statstcal Surveys Desgn and no. /0393/6 enttled European Unon n Post Crss Perod Macro and Mcroeconomc Aspects. References Atknson, A. B., and Salverda, W., 005. Top Incomes n the Netherlands and the Unted Kngdom over the 0th Century. Journal of the European Economc Assocaton, 3(4), do: Barnett, V., and Lews, T., 994. Outlers n Statstcal Data. Hoboken: Wley and Sons. Chotkapanch, D., Grffths, W. E., and Rao, D. S. P., 007. Estmatng and Combnng Natonal Income Dstrbutons Usng Lmted Data. Journal of Busness & Economc Statstcs, 5(), Cochran, W. G., 977. Samplng Technques. New York: J. Wley and Sons. Cowell, F. A., and Flachare, E., 007. Income dstrbuton and nequalty measurement: The problem of etreme values. Journal of Econometrcs, 4(), do: Dagnele, P., 998. Statstque Theorque et Applquee. Tom - Statstque Descrptve et Bases de l' Inference Statstque. Pars: DeBoeck and Larcer. Dowrck, S., and Akmal, M., 005. Contradctory Trends n Global Income Inequalty: A Tale of Two Bases. Revew of Income and Wealth, 5(), 0-9. do: EUROSTAT, 007. European Unon Statstcs on Income and Lvng Condtons. from europa.eu/eurostat/web/mcrodata/european-unon-statstcs-on-ncome-and-lvng-condtons Ghosh, M., Nanga, N., and Km, D. H., 996. Estmaton of Medan Income of Four-Person Famles: A Bayesan Tme Seres Approach. Journal of the Amercan Statstcal Assocaton, 9(436), do: Halley, R. M., 004. Measures of Central Tendency, Locaton, and Dsperson n Salary Survey Research. Compensaton & Benefts Revew, 36(5), do: Kloek, T., and van Djk, H. K., 978. Effcent estmaton of ncome dstrbuton parameters. Journal of Econometrcs, 8(), do: Levy, P. S., and Lemeshow, S., 008. Samplng of Populatonas. Methods and Applcatons (4th ed. ed.). Hoboken: Wley and Sons. do: Lohr, S. L., 00. Samplng: Desgn and Analyss (nd ed. ed.). Boston: Brooks/Cole.

15 Scentfc Annals of Economcs and Busness, 07, Vol. 64, Issue, pp Pegorsch, W. W., 05. Statstcal Data Analyss. Foundatons for Data Mnng, Informatcs, and Knowledge Dscovery. Chchester: Wley and Sons. Sala--Martn, X., 006. The World Dstrbuton of Income: Fallng Poverty and Convergence, Perod*. The Quarterly Journal of Economcs, (), do: Terek, M., 06. Odľahlé dáta a charakterstky polohy v analýzach mezd a príjmov. Revue socálnoekonomckého rozvoja : vedecký recenzovaný on-lne časops, (), 4-6. Tosenovsky, J., and Noskevcova, D., 000. Statstcke metody pro zlepsovan jakost. Ostrava: Montane. Wang, X., and Woo, W. T., 0. The Sze and Dstrbuton of Hdden Household Income n Chna. Asan Economc Papers, 0(), -6. do: Wonnacott, T. H., and Wonnacott, R., 984. Statstcs for Busness and Economcs. New York: Wley and Sons. Notes More n detals, see n: European Unon Statstcs on Income and Lvng Condtons (EU-SILC), avalable at EUROSTAT (007). Doman can be defned as subpopulaton. 3 We shall defne an outler n a set of data to be an observaton (or subset of observatons) whch appears to be nconsstent wth the remander of that set of data (Barnett and Lews, 994, p. 7). 4 More n detals see n Halley (004, pp. 39-5). 5 More n detals see n Terek (06). 6 More n detals see for eample n Terek (06). 7 Alternatvely the term desgn weghts s used. 8 In fact, t s an emprcal dstrbuton of the observaton from the populaton. 9 More n detals see for eample n Tosenovsky and Noskevcova (000). 0 More n detals see for eample n Levy and Lemeshow (008). For more detals, see n Cochran (977, pp. 8-9). Copyrght Ths artcle s an open access artcle dstrbuted under the terms and condtons of the Creatve Commons Attrbuton-NonCommercal-NoDervatves 4.0 Internatonal Lcense.

Chapter 3 Student Lecture Notes 3-1

Chapter 3 Student Lecture Notes 3-1 Chapter 3 Student Lecture otes 3-1 Busness Statstcs: A Decson-Makng Approach 6 th Edton Chapter 3 Descrbng Data Usng umercal Measures 005 Prentce-Hall, Inc. Chap 3-1 Chapter Goals After completng ths chapter,

More information

MgtOp 215 Chapter 13 Dr. Ahn

MgtOp 215 Chapter 13 Dr. Ahn MgtOp 5 Chapter 3 Dr Ahn Consder two random varables X and Y wth,,, In order to study the relatonshp between the two random varables, we need a numercal measure that descrbes the relatonshp The covarance

More information

II. Random Variables. Variable Types. Variables Map Outcomes to Numbers

II. Random Variables. Variable Types. Variables Map Outcomes to Numbers II. Random Varables Random varables operate n much the same way as the outcomes or events n some arbtrary sample space the dstncton s that random varables are smply outcomes that are represented numercally.

More information

Mode is the value which occurs most frequency. The mode may not exist, and even if it does, it may not be unique.

Mode is the value which occurs most frequency. The mode may not exist, and even if it does, it may not be unique. 1.7.4 Mode Mode s the value whch occurs most frequency. The mode may not exst, and even f t does, t may not be unque. For ungrouped data, we smply count the largest frequency of the gven value. If all

More information

The Integration of the Israel Labour Force Survey with the National Insurance File

The Integration of the Israel Labour Force Survey with the National Insurance File The Integraton of the Israel Labour Force Survey wth the Natonal Insurance Fle Natale SHLOMO Central Bureau of Statstcs Kanfey Nesharm St. 66, corner of Bach Street, Jerusalem Natales@cbs.gov.l Abstact:

More information

Random Variables. b 2.

Random Variables. b 2. Random Varables Generally the object of an nvestgators nterest s not necessarly the acton n the sample space but rather some functon of t. Techncally a real valued functon or mappng whose doman s the sample

More information

Chapter 3 Descriptive Statistics: Numerical Measures Part B

Chapter 3 Descriptive Statistics: Numerical Measures Part B Sldes Prepared by JOHN S. LOUCKS St. Edward s Unversty Slde 1 Chapter 3 Descrptve Statstcs: Numercal Measures Part B Measures of Dstrbuton Shape, Relatve Locaton, and Detectng Outlers Eploratory Data Analyss

More information

A Bootstrap Confidence Limit for Process Capability Indices

A Bootstrap Confidence Limit for Process Capability Indices A ootstrap Confdence Lmt for Process Capablty Indces YANG Janfeng School of usness, Zhengzhou Unversty, P.R.Chna, 450001 Abstract The process capablty ndces are wdely used by qualty professonals as an

More information

occurrence of a larger storm than our culvert or bridge is barely capable of handling? (what is The main question is: What is the possibility of

occurrence of a larger storm than our culvert or bridge is barely capable of handling? (what is The main question is: What is the possibility of Module 8: Probablty and Statstcal Methods n Water Resources Engneerng Bob Ptt Unversty of Alabama Tuscaloosa, AL Flow data are avalable from numerous USGS operated flow recordng statons. Data s usually

More information

UNIVERSITY OF VICTORIA Midterm June 6, 2018 Solutions

UNIVERSITY OF VICTORIA Midterm June 6, 2018 Solutions UIVERSITY OF VICTORIA Mdterm June 6, 08 Solutons Econ 45 Summer A0 08 age AME: STUDET UMBER: V00 Course ame & o. Descrptve Statstcs and robablty Economcs 45 Secton(s) A0 CR: 3067 Instructor: Betty Johnson

More information

Tests for Two Correlations

Tests for Two Correlations PASS Sample Sze Software Chapter 805 Tests for Two Correlatons Introducton The correlaton coeffcent (or correlaton), ρ, s a popular parameter for descrbng the strength of the assocaton between two varables.

More information

Spatial Variations in Covariates on Marriage and Marital Fertility: Geographically Weighted Regression Analyses in Japan

Spatial Variations in Covariates on Marriage and Marital Fertility: Geographically Weighted Regression Analyses in Japan Spatal Varatons n Covarates on Marrage and Martal Fertlty: Geographcally Weghted Regresson Analyses n Japan Kenj Kamata (Natonal Insttute of Populaton and Socal Securty Research) Abstract (134) To understand

More information

An Application of Alternative Weighting Matrix Collapsing Approaches for Improving Sample Estimates

An Application of Alternative Weighting Matrix Collapsing Approaches for Improving Sample Estimates Secton on Survey Research Methods An Applcaton of Alternatve Weghtng Matrx Collapsng Approaches for Improvng Sample Estmates Lnda Tompkns 1, Jay J. Km 2 1 Centers for Dsease Control and Preventon, atonal

More information

3/3/2014. CDS M Phil Econometrics. Vijayamohanan Pillai N. Truncated standard normal distribution for a = 0.5, 0, and 0.5. CDS Mphil Econometrics

3/3/2014. CDS M Phil Econometrics. Vijayamohanan Pillai N. Truncated standard normal distribution for a = 0.5, 0, and 0.5. CDS Mphil Econometrics Lmted Dependent Varable Models: Tobt an Plla N 1 CDS Mphl Econometrcs Introducton Lmted Dependent Varable Models: Truncaton and Censorng Maddala, G. 1983. Lmted Dependent and Qualtatve Varables n Econometrcs.

More information

Capability Analysis. Chapter 255. Introduction. Capability Analysis

Capability Analysis. Chapter 255. Introduction. Capability Analysis Chapter 55 Introducton Ths procedure summarzes the performance of a process based on user-specfed specfcaton lmts. The observed performance as well as the performance relatve to the Normal dstrbuton are

More information

Measures of Spread IQR and Deviation. For exam X, calculate the mean, median and mode. For exam Y, calculate the mean, median and mode.

Measures of Spread IQR and Deviation. For exam X, calculate the mean, median and mode. For exam Y, calculate the mean, median and mode. Part 4 Measures of Spread IQR and Devaton In Part we learned how the three measures of center offer dfferent ways of provdng us wth a sngle representatve value for a data set. However, consder the followng

More information

Standardization. Stan Becker, PhD Bloomberg School of Public Health

Standardization. Stan Becker, PhD Bloomberg School of Public Health Ths work s lcensed under a Creatve Commons Attrbuton-NonCommercal-ShareAlke Lcense. Your use of ths materal consttutes acceptance of that lcense and the condtons of use of materals on ths ste. Copyrght

More information

Notes on experimental uncertainties and their propagation

Notes on experimental uncertainties and their propagation Ed Eyler 003 otes on epermental uncertantes and ther propagaton These notes are not ntended as a complete set of lecture notes, but nstead as an enumeraton of some of the key statstcal deas needed to obtan

More information

Evaluating Performance

Evaluating Performance 5 Chapter Evaluatng Performance In Ths Chapter Dollar-Weghted Rate of Return Tme-Weghted Rate of Return Income Rate of Return Prncpal Rate of Return Daly Returns MPT Statstcs 5- Measurng Rates of Return

More information

EXTENSIVE VS. INTENSIVE MARGIN: CHANGING PERSPECTIVE ON THE EMPLOYMENT RATE. and Eliana Viviano (Bank of Italy)

EXTENSIVE VS. INTENSIVE MARGIN: CHANGING PERSPECTIVE ON THE EMPLOYMENT RATE. and Eliana Viviano (Bank of Italy) EXTENSIVE VS. INTENSIVE MARGIN: CHANGING PERSPECTIVE ON THE EMPLOYMENT RATE Andrea Brandoln and Elana Vvano (Bank of Italy) 2 European User Conference for EU-LFS and EU-SILC, Mannhem 31 March 1 Aprl, 2011

More information

OCR Statistics 1 Working with data. Section 2: Measures of location

OCR Statistics 1 Working with data. Section 2: Measures of location OCR Statstcs 1 Workng wth data Secton 2: Measures of locaton Notes and Examples These notes have sub-sectons on: The medan Estmatng the medan from grouped data The mean Estmatng the mean from grouped data

More information

/ Computational Genomics. Normalization

/ Computational Genomics. Normalization 0-80 /02-70 Computatonal Genomcs Normalzaton Gene Expresson Analyss Model Computatonal nformaton fuson Bologcal regulatory networks Pattern Recognton Data Analyss clusterng, classfcaton normalzaton, mss.

More information

ECONOMETRICS - FINAL EXAM, 3rd YEAR (GECO & GADE)

ECONOMETRICS - FINAL EXAM, 3rd YEAR (GECO & GADE) ECONOMETRICS - FINAL EXAM, 3rd YEAR (GECO & GADE) May 17, 2016 15:30 Frst famly name: Name: DNI/ID: Moble: Second famly Name: GECO/GADE: Instructor: E-mal: Queston 1 A B C Blank Queston 2 A B C Blank Queston

More information

Economic Design of Short-Run CSP-1 Plan Under Linear Inspection Cost

Economic Design of Short-Run CSP-1 Plan Under Linear Inspection Cost Tamkang Journal of Scence and Engneerng, Vol. 9, No 1, pp. 19 23 (2006) 19 Economc Desgn of Short-Run CSP-1 Plan Under Lnear Inspecton Cost Chung-Ho Chen 1 * and Chao-Yu Chou 2 1 Department of Industral

More information

Interval Estimation for a Linear Function of. Variances of Nonnormal Distributions. that Utilize the Kurtosis

Interval Estimation for a Linear Function of. Variances of Nonnormal Distributions. that Utilize the Kurtosis Appled Mathematcal Scences, Vol. 7, 013, no. 99, 4909-4918 HIKARI Ltd, www.m-hkar.com http://dx.do.org/10.1988/ams.013.37366 Interval Estmaton for a Lnear Functon of Varances of Nonnormal Dstrbutons that

More information

Using Conditional Heteroskedastic

Using Conditional Heteroskedastic ITRON S FORECASTING BROWN BAG SEMINAR Usng Condtonal Heteroskedastc Varance Models n Load Research Sample Desgn Dr. J. Stuart McMenamn March 6, 2012 Please Remember» Phones are Muted: In order to help

More information

Analysis of Variance and Design of Experiments-II

Analysis of Variance and Design of Experiments-II Analyss of Varance and Desgn of Experments-II MODULE VI LECTURE - 4 SPLIT-PLOT AND STRIP-PLOT DESIGNS Dr. Shalabh Department of Mathematcs & Statstcs Indan Insttute of Technology Kanpur An example to motvate

More information

ISyE 512 Chapter 9. CUSUM and EWMA Control Charts. Instructor: Prof. Kaibo Liu. Department of Industrial and Systems Engineering UW-Madison

ISyE 512 Chapter 9. CUSUM and EWMA Control Charts. Instructor: Prof. Kaibo Liu. Department of Industrial and Systems Engineering UW-Madison ISyE 512 hapter 9 USUM and EWMA ontrol harts Instructor: Prof. Kabo Lu Department of Industral and Systems Engneerng UW-Madson Emal: klu8@wsc.edu Offce: Room 317 (Mechancal Engneerng Buldng) ISyE 512 Instructor:

More information

Explaining and Comparing

Explaining and Comparing ACES EU CENTERS OF EXCELLENCE GRANT AY2011-12 DELIVERABLE GWU Explanng and Comparng AY 2011-12 Practcal Modfed Gn Index Amr Shoham (wth M Malul, Danel Shapra) Practcal Modfed Gn Index M Malul, Danel Shapra

More information

3: Central Limit Theorem, Systematic Errors

3: Central Limit Theorem, Systematic Errors 3: Central Lmt Theorem, Systematc Errors 1 Errors 1.1 Central Lmt Theorem Ths theorem s of prme mportance when measurng physcal quanttes because usually the mperfectons n the measurements are due to several

More information

Preliminary communication. Received: 20 th November 2013 Accepted: 10 th December 2013 SUMMARY

Preliminary communication. Received: 20 th November 2013 Accepted: 10 th December 2013 SUMMARY Elen Twrdy, Ph. D. Mlan Batsta, Ph. D. Unversty of Ljubljana Faculty of Martme Studes and Transportaton Pot pomorščakov 4 632 Portorož Slovena Prelmnary communcaton Receved: 2 th November 213 Accepted:

More information

Chapter 5 Student Lecture Notes 5-1

Chapter 5 Student Lecture Notes 5-1 Chapter 5 Student Lecture Notes 5-1 Basc Busness Statstcs (9 th Edton) Chapter 5 Some Important Dscrete Probablty Dstrbutons 004 Prentce-Hall, Inc. Chap 5-1 Chapter Topcs The Probablty Dstrbuton of a Dscrete

More information

Notes are not permitted in this examination. Do not turn over until you are told to do so by the Invigilator.

Notes are not permitted in this examination. Do not turn over until you are told to do so by the Invigilator. UNIVERSITY OF EAST ANGLIA School of Economcs Man Seres PG Examnaton 2016-17 BANKING ECONOMETRICS ECO-7014A Tme allowed: 2 HOURS Answer ALL FOUR questons. Queston 1 carres a weght of 30%; queston 2 carres

More information

A Utilitarian Approach of the Rawls s Difference Principle

A Utilitarian Approach of the Rawls s Difference Principle 1 A Utltaran Approach of the Rawls s Dfference Prncple Hyeok Yong Kwon a,1, Hang Keun Ryu b,2 a Department of Poltcal Scence, Korea Unversty, Seoul, Korea, 136-701 b Department of Economcs, Chung Ang Unversty,

More information

PASS Sample Size Software. :log

PASS Sample Size Software. :log PASS Sample Sze Software Chapter 70 Probt Analyss Introducton Probt and lot analyss may be used for comparatve LD 50 studes for testn the effcacy of drus desned to prevent lethalty. Ths proram module presents

More information

02_EBA2eSolutionsChapter2.pdf 02_EBA2e Case Soln Chapter2.pdf

02_EBA2eSolutionsChapter2.pdf 02_EBA2e Case Soln Chapter2.pdf 0_EBAeSolutonsChapter.pdf 0_EBAe Case Soln Chapter.pdf Chapter Solutons: 1. a. Quanttatve b. Categorcal c. Categorcal d. Quanttatve e. Categorcal. a. The top 10 countres accordng to GDP are lsted below.

More information

EXAMINATIONS OF THE HONG KONG STATISTICAL SOCIETY

EXAMINATIONS OF THE HONG KONG STATISTICAL SOCIETY EXAMINATIONS OF THE HONG KONG STATISTICAL SOCIETY HIGHER CERTIFICATE IN STATISTICS, 2013 MODULE 7 : Tme seres and ndex numbers Tme allowed: One and a half hours Canddates should answer THREE questons.

More information

Midterm Exam. Use the end of month price data for the S&P 500 index in the table below to answer the following questions.

Midterm Exam. Use the end of month price data for the S&P 500 index in the table below to answer the following questions. Unversty of Washngton Summer 2001 Department of Economcs Erc Zvot Economcs 483 Mdterm Exam Ths s a closed book and closed note exam. However, you are allowed one page of handwrtten notes. Answer all questons

More information

Alternatives to Shewhart Charts

Alternatives to Shewhart Charts Alternatves to Shewhart Charts CUSUM & EWMA S Wongsa Overvew Revstng Shewhart Control Charts Cumulatve Sum (CUSUM) Control Chart Eponentally Weghted Movng Average (EWMA) Control Chart 2 Revstng Shewhart

More information

Monetary Tightening Cycles and the Predictability of Economic Activity. by Tobias Adrian and Arturo Estrella * October 2006.

Monetary Tightening Cycles and the Predictability of Economic Activity. by Tobias Adrian and Arturo Estrella * October 2006. Monetary Tghtenng Cycles and the Predctablty of Economc Actvty by Tobas Adran and Arturo Estrella * October 2006 Abstract Ten out of thrteen monetary tghtenng cycles snce 1955 were followed by ncreases

More information

Real Exchange Rate Fluctuations, Wage Stickiness and Markup Adjustments

Real Exchange Rate Fluctuations, Wage Stickiness and Markup Adjustments Real Exchange Rate Fluctuatons, Wage Stckness and Markup Adjustments Yothn Jnjarak and Kanda Nakno Nanyang Technologcal Unversty and Purdue Unversty January 2009 Abstract Motvated by emprcal evdence on

More information

Elton, Gruber, Brown, and Goetzmann. Modern Portfolio Theory and Investment Analysis, 7th Edition. Solutions to Text Problems: Chapter 9

Elton, Gruber, Brown, and Goetzmann. Modern Portfolio Theory and Investment Analysis, 7th Edition. Solutions to Text Problems: Chapter 9 Elton, Gruber, Brown, and Goetzmann Modern Portfolo Theory and Investment Analyss, 7th Edton Solutons to Text Problems: Chapter 9 Chapter 9: Problem In the table below, gven that the rskless rate equals

More information

A Comparison of Statistical Methods in Interrupted Time Series Analysis to Estimate an Intervention Effect

A Comparison of Statistical Methods in Interrupted Time Series Analysis to Estimate an Intervention Effect Transport and Road Safety (TARS) Research Joanna Wang A Comparson of Statstcal Methods n Interrupted Tme Seres Analyss to Estmate an Interventon Effect Research Fellow at Transport & Road Safety (TARS)

More information

Technological inefficiency and the skewness of the error component in stochastic frontier analysis

Technological inefficiency and the skewness of the error component in stochastic frontier analysis Economcs Letters 77 (00) 101 107 www.elsever.com/ locate/ econbase Technologcal neffcency and the skewness of the error component n stochastc fronter analyss Martn A. Carree a,b, * a Erasmus Unversty Rotterdam,

More information

Understanding price volatility in electricity markets

Understanding price volatility in electricity markets Proceedngs of the 33rd Hawa Internatonal Conference on System Scences - 2 Understandng prce volatlty n electrcty markets Fernando L. Alvarado, The Unversty of Wsconsn Rajesh Rajaraman, Chrstensen Assocates

More information

Tests for Two Ordered Categorical Variables

Tests for Two Ordered Categorical Variables Chapter 253 Tests for Two Ordered Categorcal Varables Introducton Ths module computes power and sample sze for tests of ordered categorcal data such as Lkert scale data. Assumng proportonal odds, such

More information

- contrast so-called first-best outcome of Lindahl equilibrium with case of private provision through voluntary contributions of households

- contrast so-called first-best outcome of Lindahl equilibrium with case of private provision through voluntary contributions of households Prvate Provson - contrast so-called frst-best outcome of Lndahl equlbrum wth case of prvate provson through voluntary contrbutons of households - need to make an assumpton about how each household expects

More information

CHAPTER 9 FUNCTIONAL FORMS OF REGRESSION MODELS

CHAPTER 9 FUNCTIONAL FORMS OF REGRESSION MODELS CHAPTER 9 FUNCTIONAL FORMS OF REGRESSION MODELS QUESTIONS 9.1. (a) In a log-log model the dependent and all explanatory varables are n the logarthmc form. (b) In the log-ln model the dependent varable

More information

Linear Combinations of Random Variables and Sampling (100 points)

Linear Combinations of Random Variables and Sampling (100 points) Economcs 30330: Statstcs for Economcs Problem Set 6 Unversty of Notre Dame Instructor: Julo Garín Sprng 2012 Lnear Combnatons of Random Varables and Samplng 100 ponts 1. Four-part problem. Go get some

More information

Work, Offers, and Take-Up: Decomposing the Source of Recent Declines in Employer- Sponsored Insurance

Work, Offers, and Take-Up: Decomposing the Source of Recent Declines in Employer- Sponsored Insurance Work, Offers, and Take-Up: Decomposng the Source of Recent Declnes n Employer- Sponsored Insurance Lnda J. Blumberg and John Holahan The Natonal Bureau of Economc Research (NBER) determned that a recesson

More information

A Comparative Study of Mean-Variance and Mean Gini Portfolio Selection Using VaR and CVaR

A Comparative Study of Mean-Variance and Mean Gini Portfolio Selection Using VaR and CVaR Journal of Fnancal Rsk Management, 5, 4, 7-8 Publshed Onlne 5 n ScRes. http://www.scrp.org/journal/jfrm http://dx.do.org/.436/jfrm.5.47 A Comparatve Study of Mean-Varance and Mean Gn Portfolo Selecton

More information

Elements of Economic Analysis II Lecture VI: Industry Supply

Elements of Economic Analysis II Lecture VI: Industry Supply Elements of Economc Analyss II Lecture VI: Industry Supply Ka Hao Yang 10/12/2017 In the prevous lecture, we analyzed the frm s supply decson usng a set of smple graphcal analyses. In fact, the dscusson

More information

The Institute of Chartered Accountants of Sri Lanka

The Institute of Chartered Accountants of Sri Lanka The Insttute of Chartered Accountants of Sr Lanka Postgraduate Dploma n Accountng, Busness and Strategy Quanttatve Methods for Busness Studes Handout 0: Presentaton and Analyss of data Tables and Charts

More information

A Simulation Study to Compare Weighting Methods for Nonresponses in the National Survey of Recent College Graduates

A Simulation Study to Compare Weighting Methods for Nonresponses in the National Survey of Recent College Graduates A Smulaton Study to Compare Weghtng Methods for Nonresponses n the Natonal Survey of Recent College Graduates Amang Sukash, Donsg Jang, Sonya Vartvaran, Stephen Cohen 2, Fan Zhang 2 Mathematca Polcy Research.

More information

Risk and Return: The Security Markets Line

Risk and Return: The Security Markets Line FIN 614 Rsk and Return 3: Markets Professor Robert B.H. Hauswald Kogod School of Busness, AU 1/25/2011 Rsk and Return: Markets Robert B.H. Hauswald 1 Rsk and Return: The Securty Markets Lne From securtes

More information

15-451/651: Design & Analysis of Algorithms January 22, 2019 Lecture #3: Amortized Analysis last changed: January 18, 2019

15-451/651: Design & Analysis of Algorithms January 22, 2019 Lecture #3: Amortized Analysis last changed: January 18, 2019 5-45/65: Desgn & Analyss of Algorthms January, 09 Lecture #3: Amortzed Analyss last changed: January 8, 09 Introducton In ths lecture we dscuss a useful form of analyss, called amortzed analyss, for problems

More information

Data Mining Linear and Logistic Regression

Data Mining Linear and Logistic Regression 07/02/207 Data Mnng Lnear and Logstc Regresson Mchael L of 26 Regresson In statstcal modellng, regresson analyss s a statstcal process for estmatng the relatonshps among varables. Regresson models are

More information

COS 511: Theoretical Machine Learning. Lecturer: Rob Schapire Lecture #21 Scribe: Lawrence Diao April 23, 2013

COS 511: Theoretical Machine Learning. Lecturer: Rob Schapire Lecture #21 Scribe: Lawrence Diao April 23, 2013 COS 511: Theoretcal Machne Learnng Lecturer: Rob Schapre Lecture #21 Scrbe: Lawrence Dao Aprl 23, 2013 1 On-Lne Log Loss To recap the end of the last lecture, we have the followng on-lne problem wth N

More information

Creating a zero coupon curve by bootstrapping with cubic splines.

Creating a zero coupon curve by bootstrapping with cubic splines. MMA 708 Analytcal Fnance II Creatng a zero coupon curve by bootstrappng wth cubc splnes. erg Gryshkevych Professor: Jan R. M. Röman 0.2.200 Dvson of Appled Mathematcs chool of Educaton, Culture and Communcaton

More information

Raising Food Prices and Welfare Change: A Simple Calibration. Xiaohua Yu

Raising Food Prices and Welfare Change: A Simple Calibration. Xiaohua Yu Rasng Food Prces and Welfare Change: A Smple Calbraton Xaohua Yu Professor of Agrcultural Economcs Courant Research Centre Poverty, Equty and Growth Unversty of Göttngen CRC-PEG, Wlhelm-weber-Str. 2 3773

More information

The Mack-Method and Analysis of Variability. Erasmus Gerigk

The Mack-Method and Analysis of Variability. Erasmus Gerigk The Mac-Method and Analyss of Varablty Erasmus Gerg ontents/outlne Introducton Revew of two reservng recpes: Incremental Loss-Rato Method han-ladder Method Mac s model assumptons and estmatng varablty

More information

Multifactor Term Structure Models

Multifactor Term Structure Models 1 Multfactor Term Structure Models A. Lmtatons of One-Factor Models 1. Returns on bonds of all maturtes are perfectly correlated. 2. Term structure (and prces of every other dervatves) are unquely determned

More information

Asset Management. Country Allocation and Mutual Fund Returns

Asset Management. Country Allocation and Mutual Fund Returns Country Allocaton and Mutual Fund Returns By Dr. Lela Heckman, Senor Managng Drector and Dr. John Mulln, Managng Drector Bear Stearns Asset Management Bear Stearns Actve Country Equty Executve Summary

More information

Consumption analysis and the effect of price development in SR

Consumption analysis and the effect of price development in SR Journal of Theoretcal and Appled Computer Scence Vol. 10, No. 1, 2016, pp. 38-45 ISSN 2299-2634 (prnted), 2300-5653 (onlne) http://www.jtacs.org Consumpton analyss and the effect of prce development n

More information

THE MARKET PORTFOLIO MAY BE MEAN-VARIANCE EFFICIENT AFTER ALL

THE MARKET PORTFOLIO MAY BE MEAN-VARIANCE EFFICIENT AFTER ALL THE ARKET PORTFOIO AY BE EA-VARIACE EFFICIET AFTER A OSHE EVY and RICHARD RO ABSTRACT Testng the CAP bols down to testng the mean-varance effcency of the market portfolo. any studes have examned the meanvarance

More information

International ejournals

International ejournals Avalable onlne at www.nternatonalejournals.com ISSN 0976 1411 Internatonal ejournals Internatonal ejournal of Mathematcs and Engneerng 7 (010) 86-95 MODELING AND PREDICTING URBAN MALE POPULATION OF BANGLADESH:

More information

Estimating an Earnings Function from Coarsened Data by an Interval Censored Regression Procedure

Estimating an Earnings Function from Coarsened Data by an Interval Censored Regression Procedure Estmatng an Earnngs Functon from Coarsened Data by an Interval Censored Regresson Procedure Reza C. Danels School of Economcs Unversty of Cape Town rdanels@commerce.uct.ac.za Sandrne Rospabé Faculté des

More information

Appendix - Normally Distributed Admissible Choices are Optimal

Appendix - Normally Distributed Admissible Choices are Optimal Appendx - Normally Dstrbuted Admssble Choces are Optmal James N. Bodurtha, Jr. McDonough School of Busness Georgetown Unversty and Q Shen Stafford Partners Aprl 994 latest revson September 00 Abstract

More information

Harmonised Labour Cost Index. Methodology

Harmonised Labour Cost Index. Methodology Harmonsed Labour Cost Index Methodology March 2013 Index 1 Introducton 3 2 Scope, coverage and reference perod 4 3 Defntons 5 4 Sources of nformaton 7 5 Formulae employed 9 6 Results obtaned 10 7 Seres

More information

REFINITIV INDICES PRIVATE EQUITY BUYOUT INDEX METHODOLOGY

REFINITIV INDICES PRIVATE EQUITY BUYOUT INDEX METHODOLOGY REFINITIV INDICES PRIVATE EQUITY BUYOUT INDEX METHODOLOGY 1 Table of Contents INTRODUCTION 3 TR Prvate Equty Buyout Index 3 INDEX COMPOSITION 3 Sector Portfolos 4 Sector Weghtng 5 Index Rebalance 5 Index

More information

Maximum Likelihood Estimation of Isotonic Normal Means with Unknown Variances*

Maximum Likelihood Estimation of Isotonic Normal Means with Unknown Variances* Journal of Multvarate Analyss 64, 183195 (1998) Artcle No. MV971717 Maxmum Lelhood Estmaton of Isotonc Normal Means wth Unnown Varances* Nng-Zhong Sh and Hua Jang Northeast Normal Unversty, Changchun,Chna

More information

An Approximate E-Bayesian Estimation of Step-stress Accelerated Life Testing with Exponential Distribution

An Approximate E-Bayesian Estimation of Step-stress Accelerated Life Testing with Exponential Distribution Send Orders for Reprnts to reprnts@benthamscenceae The Open Cybernetcs & Systemcs Journal, 25, 9, 729-733 729 Open Access An Approxmate E-Bayesan Estmaton of Step-stress Accelerated Lfe Testng wth Exponental

More information

Solutions to Odd-Numbered End-of-Chapter Exercises: Chapter 12

Solutions to Odd-Numbered End-of-Chapter Exercises: Chapter 12 Introducton to Econometrcs (3 rd Updated Edton) by James H. Stock and Mark W. Watson Solutons to Odd-Numbered End-of-Chapter Exercses: Chapter 1 (Ths verson July 0, 014) Stock/Watson - Introducton to Econometrcs

More information

Nonresponse in the Norwegian Labour Force Survey (LFS): using administrative information to describe trends

Nonresponse in the Norwegian Labour Force Survey (LFS): using administrative information to describe trends Notater Documents 54/2012 Ib Thomsen and Ole Vllund Nonresponse n the Norwegan Labour Force Survey (LFS): usng admnstratve nformaton to descrbe trends Documents 54/2012 Ib Thomsen and Ole Vllund Nonresponse

More information

THE ALUMINIUM PRICE FORECASTING BY REPLACING THE INITIAL CONDITION VALUE BY THE DIFFERENT STOCK EXCHANGES

THE ALUMINIUM PRICE FORECASTING BY REPLACING THE INITIAL CONDITION VALUE BY THE DIFFERENT STOCK EXCHANGES Acta Metallurgca Slovaca, Vol. 20, 2014, No. 1, p. 115-124 115 THE ALUMINIUM PRICE FORECASTING BY REPLACING THE INITIAL CONDITION VALUE BY THE DIFFERENT STOCK EXCHANGES Marcela Lascsáková 1) *, Peter Nagy

More information

The Analysis of Net Position Development and the Comparison with GDP Development for Selected Countries of European Union

The Analysis of Net Position Development and the Comparison with GDP Development for Selected Countries of European Union The Analyss of Net Poston Development and the Comparson wth GDP Development for Selected Countres of European Unon JAROSLAV KOVÁRNÍK Faculty of Informatcs and Management, Department of Economcs Unversty

More information

Calibration Methods: Regression & Correlation. Calibration Methods: Regression & Correlation

Calibration Methods: Regression & Correlation. Calibration Methods: Regression & Correlation Calbraton Methods: Regresson & Correlaton Calbraton A seres of standards run (n replcate fashon) over a gven concentraton range. Standards Comprsed of analte(s) of nterest n a gven matr composton. Matr

More information

Domestic Savings and International Capital Flows

Domestic Savings and International Capital Flows Domestc Savngs and Internatonal Captal Flows Martn Feldsten and Charles Horoka The Economc Journal, June 1980 Presented by Mchael Mbate and Chrstoph Schnke Introducton The 2 Vews of Internatonal Captal

More information

Financial Risk Management in Portfolio Optimization with Lower Partial Moment

Financial Risk Management in Portfolio Optimization with Lower Partial Moment Amercan Journal of Busness and Socety Vol., o., 26, pp. 2-2 http://www.ascence.org/journal/ajbs Fnancal Rsk Management n Portfolo Optmzaton wth Lower Partal Moment Lam Weng Sew, 2, *, Lam Weng Hoe, 2 Department

More information

Introduction. Chapter 7 - An Introduction to Portfolio Management

Introduction. Chapter 7 - An Introduction to Portfolio Management Introducton In the next three chapters, we wll examne dfferent aspects of captal market theory, ncludng: Brngng rsk and return nto the pcture of nvestment management Markowtz optmzaton Modelng rsk and

More information

4. Greek Letters, Value-at-Risk

4. Greek Letters, Value-at-Risk 4 Greek Letters, Value-at-Rsk 4 Value-at-Rsk (Hull s, Chapter 8) Math443 W08, HM Zhu Outlne (Hull, Chap 8) What s Value at Rsk (VaR)? Hstorcal smulatons Monte Carlo smulatons Model based approach Varance-covarance

More information

A New Robust Estımator for Value at Rısk

A New Robust Estımator for Value at Rısk Amercan Research Journal of Busness and Management Orgnal Artcle Volume 1, Issue1, Feb-2015 A New Robust Estımator for Value at Rısk Nur Celk a1, Chan Dncer b a Bartn Unversty, Department of Statstcs,74100

More information

arxiv:cond-mat/ v1 [cond-mat.other] 28 Nov 2004

arxiv:cond-mat/ v1 [cond-mat.other] 28 Nov 2004 arxv:cond-mat/0411699v1 [cond-mat.other] 28 Nov 2004 Estmatng Probabltes of Default for Low Default Portfolos Katja Pluto and Drk Tasche November 23, 2004 Abstract For credt rsk management purposes n general,

More information

PhysicsAndMathsTutor.com

PhysicsAndMathsTutor.com PhscsAndMathsTutor.com phscsandmathstutor.com June 2005 6. A scentst found that the tme taken, M mnutes, to carr out an eperment can be modelled b a normal random varable wth mean 155 mnutes and standard

More information

R Square Measure of Stock Synchronicity

R Square Measure of Stock Synchronicity Internatonal Revew of Busness Research Papers Vol. 7. No. 1. January 2011. Pp. 165 175 R Square Measure of Stock Synchroncty Sarod Khandaker* Stock market synchroncty s a new area of research for fnance

More information

OPERATIONS RESEARCH. Game Theory

OPERATIONS RESEARCH. Game Theory OPERATIONS RESEARCH Chapter 2 Game Theory Prof. Bbhas C. Gr Department of Mathematcs Jadavpur Unversty Kolkata, Inda Emal: bcgr.umath@gmal.com 1.0 Introducton Game theory was developed for decson makng

More information

Numerical Analysis ECIV 3306 Chapter 6

Numerical Analysis ECIV 3306 Chapter 6 The Islamc Unversty o Gaza Faculty o Engneerng Cvl Engneerng Department Numercal Analyss ECIV 3306 Chapter 6 Open Methods & System o Non-lnear Eqs Assocate Pro. Mazen Abualtaye Cvl Engneerng Department,

More information

Module Contact: Dr P Moffatt, ECO Copyright of the University of East Anglia Version 2

Module Contact: Dr P Moffatt, ECO Copyright of the University of East Anglia Version 2 UNIVERSITY OF EAST ANGLIA School of Economcs Man Seres PG Examnaton 2012-13 FINANCIAL ECONOMETRICS ECO-M017 Tme allowed: 2 hours Answer ALL FOUR questons. Queston 1 carres a weght of 25%; Queston 2 carres

More information

Analysis of Moody s Bottom Rung Firms

Analysis of Moody s Bottom Rung Firms Analyss of Moody s Bottom Rung Frms Stoyu I. Ivanov * San Jose State Unversty Howard Turetsky San Jose State Unversty Abstract: Moody s publshed for the frst tme on March 10, 2009 a lst of Bottom Rung

More information

Self-controlled case series analyses: small sample performance

Self-controlled case series analyses: small sample performance Self-controlled case seres analyses: small sample performance Patrck Musonda 1, Mouna N. Hocne 1,2, Heather J. Whtaker 1 and C. Paddy Farrngton 1 * 1 The Open Unversty, Mlton Keynes, MK7 6AA, UK 2 INSERM

More information

INCOME UNDERREPORTING BY THE SELF-EMPLOYED IN EUROPE: A CROSS-COUNTRY COMPARATIVE STUDY

INCOME UNDERREPORTING BY THE SELF-EMPLOYED IN EUROPE: A CROSS-COUNTRY COMPARATIVE STUDY Workng Paper Seres 4/018 INCOME UNDERREPORTING BY THE SELF-EMPLOYED IN EUROPE: A CROSS-COUNTRY COMPARATIVE STUDY MERIKE KUKK ALARI PAULUS KARSTEN STAEHR The Workng Paper s avalable on the Eest Pank web

More information

Cracking VAR with kernels

Cracking VAR with kernels CUTTIG EDGE. PORTFOLIO RISK AALYSIS Crackng VAR wth kernels Value-at-rsk analyss has become a key measure of portfolo rsk n recent years, but how can we calculate the contrbuton of some portfolo component?

More information

Natural Resources Data Analysis Lecture Notes Brian R. Mitchell. IV. Week 4: A. Goodness of fit testing

Natural Resources Data Analysis Lecture Notes Brian R. Mitchell. IV. Week 4: A. Goodness of fit testing Natural Resources Data Analyss Lecture Notes Bran R. Mtchell IV. Week 4: A. Goodness of ft testng 1. We test model goodness of ft to ensure that the assumptons of the model are met closely enough for the

More information

Κείμενο Θέσεων Υπ. Αρ. 5 Rates of return to different levels of education: Recent evidence from Greece

Κείμενο Θέσεων Υπ. Αρ. 5 Rates of return to different levels of education: Recent evidence from Greece Υπουργείο Εθνικής Παιδείας και Θρησκευμάτων Ειδική Υπηρεσία Διαχείρισης ΕΠΕΑΕΚ Κείμενο Θέσεων Υπ. Αρ. 5 Rates of return to dfferent levels of educaton: Recent evdence from Greece 2003-2005 Επιστημονικός

More information

Real Exchange Rate and the Productivity Growth Rates. using Panel Data TSUYOSHI KUBOTA Ten-no-dai, Tsukuba, Ibaraki, Japan

Real Exchange Rate and the Productivity Growth Rates. using Panel Data TSUYOSHI KUBOTA Ten-no-dai, Tsukuba, Ibaraki, Japan Real Exchange Rate and the Productvy Growth Rates usng Panel Data SUYOSHI KUBOA he Doctoral Program n Polcy and Plannng Scences, he Unversy of sukuba, -- en-no-da, sukuba, Ibarak, Japan Abstract In ths

More information

Tree-based and GA tools for optimal sampling design

Tree-based and GA tools for optimal sampling design Tree-based and GA tools for optmal samplng desgn The R User Conference 2008 August 2-4, Technsche Unverstät Dortmund, Germany Marco Balln, Gulo Barcarol Isttuto Nazonale d Statstca (ISTAT) Defnton of the

More information

THE VOLATILITY OF EQUITY MUTUAL FUND RETURNS

THE VOLATILITY OF EQUITY MUTUAL FUND RETURNS North Amercan Journal of Fnance and Bankng Research Vol. 4. No. 4. 010. THE VOLATILITY OF EQUITY MUTUAL FUND RETURNS Central Connectcut State Unversty, USA. E-mal: BelloZ@mal.ccsu.edu ABSTRACT I nvestgated

More information

Sampling Distributions of OLS Estimators of β 0 and β 1. Monte Carlo Simulations

Sampling Distributions of OLS Estimators of β 0 and β 1. Monte Carlo Simulations Addendum to NOTE 4 Samplng Dstrbutons of OLS Estmators of β and β Monte Carlo Smulatons The True Model: s gven by the populaton regresson equaton (PRE) Y = β + β X + u = 7. +.9X + u () where β = 7. and

More information

Copyright 2017 by Taylor Enterprises, Inc., All Rights Reserved. Dr. Wayne A. Taylor

Copyright 2017 by Taylor Enterprises, Inc., All Rights Reserved. Dr. Wayne A. Taylor Taylor Enterprses, Inc. ormalzed Indvduals (I ) Chart Copyrght 07 by Taylor Enterprses, Inc., All Rghts Reserved. ormalzed Indvduals (I) Control Chart Dr. Wayne A. Taylor Abstract: The only commonly used

More information

Social Cohesion and the Dynamics of Income in Four Countries

Social Cohesion and the Dynamics of Income in Four Countries NOT FOR CITATION WITHOUT AUTHORS PERMISSION Socal Coheson and the Dynamcs of Income n Four Countres Mles Corak, Wen-Hao Chen, Abdellatf Demant, and Denns Batten Famly and Labour Studes Statstcs Canada

More information