Least square methods, Microeconomics

The least square method is based on the assumption that the past rate of change of the variable under study will continue in the future. It is a mathematical procedure for fitting a line to a set of observed data points in such a manner that the sum of the squared differences between the calculated and observed value is minimized. This techniques is used to find a trend line which best it the available data. This trend is then used to project dependant variable in the future. This method is very popular because it is simple and in expensive.

Posted Date: 3/30/2013 2:13:03 AM | Location : United States







Related Discussions:- Least square methods, Assignment Help, Ask Question on Least square methods, Get Answer, Expert's Help, Least square methods Discussions

Write discussion on Least square methods
Your posts are moderated
Related Questions

For each of the following scenarios, you use a SS & DD diagram to demonstrate the effect of a given shock on equilibrium price and quantity in specified competitive market. Explain

Explain the term Fordism Between approximately 1890 and 1930-or perhaps 1890 and 1950-a host of innovative technologies and business practices were adopted in the US. Europeans




Ask qdescribe average and marginal revenue under imperfect competitionuestion

What is a Market? Markets A geographically stated area where buyers and sellers interact or communicate to decide the price of a product or a series of products. Marke

Demand and supply curve for french breads