How to learn both applied statistics (econometrics) and free, open-source software R? This book allows students to have a sense of accomplishment by copying and pasting many hands-on templates provided here.The textbook is essential for anyone wishing to have a practical understanding of an extensive range of topics in Econometrics. No other text provides software snippets to learn so many new statistical tools with hands-on examples. The explicit knowledge of inputs and outputs of each new method allows the student to know which algorithm is worth studying. The book offers sufficient theoretical and algorithmic details about a vast range of statistical techniques.The second edition's preface lists the following topics generally absent in other textbooks. (i) Iteratively reweighted least squares, (ii) Pillar charts to represent 3D data. (iii) Stochastic frontier analysis (SFA) (iv) model selection with Mallows' Cp criterion. (v) Hodrick-Prescott (HP) filter. (vi) Automatic ARIMA models. (vi) Nonlinear Granger-causality using kernel regressions and bootstrap confidence intervals. (vii) new Keynesian Phillips curve (NKPC). (viii) Market-neutral pairs trading using two cointegrated stocks. (ix) Artificial neural network (ANN) for product-specific forecasting. (x) Vector AR and VARMA models. (xi) New tools for diagnosing the endogeneity problem. (xii) The elegant set-up of k-class estimators and identification. (xiii) Probit-logit models and Heckman selection bias correction. (xiv) Receiver operating characteristic (ROC) curves and areas under them. (xv) Confusion matrix. (xvi) Quantile regression (xvii) Elastic net estimator. (xviii) generalized Correlations (xix) maximum entropy bootstrap for time series. (xx) Convergence concepts quantified. (xxi) Generalized partial correlation coefficients (xxii) Panel data and duration (survival) models.
The innovative Handbook offers 23 state-of-the-art peer-reviewed essays by leading international authorities summarizing evidence-based research on ancient and modern India. For example, Kautilya's Economics text published some 2000 years before Adam Smith is shown to include ideas in Marx's Labor Theory of Value, UN's Human Rights, optimization, etc. Hindu India topics include: beef eating, astrology, rituals, sacraments, pilgrimages, guilt-free pursuit of wealth and pleasures, caste system's huge costs and benefits in nurturing entrepreneurship, charity, Hindu Law, gender issues, overpopulation problem, yoga for business management and human capital growth. The scholarly essays provide a unique reference work for students, teachers, businessmen, India investors and general readers. Michael Szenberg, editor of The American Economist wrote: "Hindu Economics and Business Handbook is an engaging and informative survey of the economics of Hinduism. I highly recommend it. Jagdish Bhagwati of Columbia University said "... interesting collection ... will be widely read" Prof. Panchamukhi, Former Chairman, Indian Council for Social Science Research, New Delhi and editor of Indian Journal of Economics wrote: ".. systematically arranged into different themes and chapters ...Protection and prosperity, Importance of animals, Four-fold Objectives of Life, Hindu Social Corporate form, Ayurvedic Medicines, Impact of Rituals, (etc.)...perceptive articles on the recent thoughts on development and governance ...extremely valuable reading material...the most useful addition to the literature" Prof. Rishi Raj of CCNY, president of SIAA, wrote: "...many methods and strategies ..(by).. Hindu economists are desperately needed to help solve the present day world economic crisis." Narain Kataria, President of Indian American Intellectual Forum wrote: "...review of contrasting viewpoints... This unique reference work edited by Prof. Vinod belongs not only in every public library, but also in the home of everyone interested in India, including non-Hindus and international investors." List of distinguished authors includes the likes of: (1) former Harvard professor and president of Janata Party, Subramanian Swamy, (2) Suresh Tendulkar, Chair, Indian Prime Minister's Economic Advisory Council, (3) Shankar Abhyankar, founder of Aditya Pratishthan, (4) Anil Bokil, founder of ArthaKranti Pratishthan, (5) Prof. R. Vaidyanathan, IIM Banglore, (6) Balbir Sihag of U. Mass. (7) M.G. Prasad of Stevens Tech. (8) M. V. Patwardhan former Fellow Institute of Bankers, London, (9) Gautam Naresh, formerly at the National Institute of Public Finance, (10) M. V. Nadkarni, founder of Journal of Social and Economic Development, (11) Prof. R. Kulkarni, IIT Bombay, (12) K. Kulkarni, editor of the Indian Journal of Economics and Business, (13) Prof. S. Kaushik, Pace University, NY, Founder of Women's College in India, (14) H. Mhaskar, von Neumann distinguished professor, Technical University, Munich, Germany, (15) Vasant Lad, founder of Ayurvedic Institute in Albuquerque, NM, (16) Yogi S. Vinod, founder MVRF, Pune, (17) S. Kalyanaraman, Director, Sarasvati Research Centre, Chennai, (18) M. and P. Joshi, founders of Gurukul Yoga Center, NJ, (19) Advocate S. Deshmukh, formerly at Citibank and president, Maharashtra Foundation, and (20) Advocate C. Vaidya, among others.
A timely approach to downside risk and its role in stock market investments When dealing with the topic of risk analysis, most books on investments treat downside and upside risk equally. Preparing for the Worst takes an entirely novel approach by focusing on downside risk and explaining how to incorporate it into investment decisions. Highlighting this asymmetry of the stock market, the authors describe how existing theories miss the downside and follow with explanations of how it can be included. Various techniques for calculating downside risk are demonstrated. This book presents the latest ideas in the field from the ground up, making the discussion accessible to mathematicians and statisticians interested in applications in finance, as well as to finance professionals who may not have a mathematical background. An invaluable resource for anyone wishing to explore the critical issues of finance, portfolio management, and securities pricing, this book: Incorporates Value at Risk into the theoretical discussion Uses many examples to illustrate downside risk in U.S., international, and emerging market investments Addresses downside risk arising from fraud and corruption Includes step-by-step instructions on how to implement the methods introduced in this book Offers advice on how to avoid pitfalls in calculations and computer programming Provides software use information and tips
This book explains how to use R software to teach econometrics by providing interesting examples, using actual data applied to important policy issues. It helps readers choose the best method from a wide array of tools and packages available. The data used in the examples along with R program snippets, illustrate the economic theory and sophisticated statistical methods extending the usual regression. The R program snippets are not merely given as black boxes, but include detailed comments which help the reader better understand the software steps and use them as templates for possible extension and modification.
This is the first book of its kind which teaches matrix algebra, allowing the student to learn the material by actually working with matrix objects in modern computer environment of R. Instead of a calculator, R is a vastly more powerful free software and graphics system.The book provides a comprehensive overview of matrix theory without being bogged down in proofs or tedium. The reader can check each matrix result with numerical examples of exactly what they mean and understand their implications. The book does not shy away from advanced topics, especially the ones with practical applications.
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