Econometrics is a branch of economics that applies statistical methods, mathematical models, and economic theory to analyze and understand economic phenomena, quantify relationships between variables, and make predictions or policy recommendations based on data analysis.

expected value formula

Expected Value Formula

The expected value formula is a mathematical calculation used to estimate the average outcome of a random variable, taking into account the probabilities of different possible outcomes.

cluster sampling

Cluster Sampling

Cluster sampling is a sampling technique in which the population is divided into groups or clusters, and a subset of clusters is randomly selected for analysis.

empirical evidence

Empirical Evidence

Empirical evidence refers to factual information or data derived from real-world observations and experiments, used to support or validate scientific claims and theories.

coefficient of determination

Coefficient of Determination

The coefficient of determination is a statistical measure that indicates the proportion of the variance in a dependent variable that can be explained by the independent variables in a regression model.

Bayes Theorem

Bayes Theorem

Table of Contents What is Bayes Theorem? Understanding Bayes’ Theorem The Formula of Bayes’ Theorem Examples of the Bayes’ Theorem Limitations and Criticisms of Bayes’ Theorem FAQs Bayes Theorem: Definition, Formula & Examples Written by Paul Boyce Posted in Econometrics Last Updated May 25, 2023 What is Bayes Theorem? Bayes’ Theorem, named after the British

Empirical Rule

The empirical rule, also known as the 68-95-99.7 rule, states that in a normal distribution, approximately 68% of the data falls within one standard deviation, 95% falls within two standard deviations, and 99.7% falls within three standard deviations of the mean.