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Journal ArticleDOI

The Acceptability of Regression Solutions: Another Look at Computational Accuracy

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TLDR
The basic conclusion is that a concern about highly accurate computational methods must be tempered with a concern for whether the data are accurate enough to make the results meaningful.
Abstract
Longley [10] proposed a set of data for use in testing regression programs. This paper shows that the numerically accurate solution in this example was probably an unreasonable estimate of the regression coefficients. This is true because the accuracy of the data and appropriateness of the model may affect the solution more than the computational method. An easily computed index is derived that can be used to indicate such computational instability. The basic conclusion is that a concern about highly accurate computational methods must be tempered with a concern for whether the data are accurate enough to make the results meaningful.

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Citations
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Journal ArticleDOI

Why Doesn't Capital Flow from Rich to Poor Countries? An Empirical Investigation

TL;DR: This paper examined the empirical role of difierent explanations for the lack of flow of capital from rich to poor countries, including differences in fundamentals across countries and capital market imperfections, and showed that during 1970-2000 low institutional quality is the leading explanation.
Journal ArticleDOI

Collinearity and Least Squares Regression

G. W. Stewart
- 01 Feb 1987 - 
TL;DR: In this article, the authors introduce the concept of collinearity indices, which are useful in detecting near-collinearities in regression problems and provide simple regression diagnostics, suitable for incorporation in regression packages.
Book

Numerical Methods Of Statistics

TL;DR: This book explains how computer software is designed to perform the tasks required for sophisticated statistical analysis and treats the application of numerical tools; numerical integration and random number generation are explained in a unified manner reflecting complementary views of Monte Carlo methods.
Journal ArticleDOI

The Numerical Reliability of Econometric Software

TL;DR: Both users and developers of econometrics software should first pay attention to accuracy, and only later consider user-friendliness, as well as assessing the accuracy of basic estimation routines, statistical distributions, and random number generators.
References
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Journal ArticleDOI

Ridge regression: biased estimation for nonorthogonal problems

TL;DR: In this paper, an estimation procedure based on adding small positive quantities to the diagonal of X′X was proposed, which is a method for showing in two dimensions the effects of nonorthogonality.
Book

The algebraic eigenvalue problem

TL;DR: Theoretical background Perturbation theory Error analysis Solution of linear algebraic equations Hermitian matrices Reduction of a general matrix to condensed form Eigenvalues of matrices of condensed forms The LR and QR algorithms Iterative methods Bibliography.
Book

Statistical Theories of Mental Test Scores

TL;DR: In this paper, the authors present a survey of test theory models and their application in the field of mental test analysis. But the focus of the survey is on test-score theories and models, and not the practical applications and limitations of each model studied.
Journal ArticleDOI

Are there Two Regressions

TL;DR: In this paper, a line is fitted by least squares, minimizing the sum of the squared residuals of the dependent uncontrolled variate, regardless of whether the independent variate has been measured without error as v or with error as y.
Trending Questions (1)
What makes a linear regression model unreasonable?

This paper shows that the numerically accurate solution in this example was probably an unreasonable estimate of the regression coefficients.