Random Walk model

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#### GM Statistics

#### The Z-score

The Z-Score The Z-score also referred to as standardized raw scores is a useful statistic because not only permits to compute the probability (chances or likelihood) of raw score (occurring within normal distribution) but also it helps to compare two raw scores from different normal distributions. The Z-score is a dimensionless measure since it is […]

#### Multicollinearity in Linear Regression Models

Multicollinearity in Linear Regression Models The objective of multiple regression analysis is to approximate the relationship of individual parameters of a dependency, but not of interdependency. It is assumed that the dependent variable and regressors ‘s are linearly related to each other (Graybill, 1980; Johnston, 1963 and Malinvaud, 1968). Therefore, inferences depicted from any regression […]

#### Levels of Measurement

Levels of Measurement (Scale of Measure) Level of measurement (scale of measure) have been classified into four categories. It is important to understand these level of measurement, since these level of measurement play important part in determining the arithmetic and different possible statistical tests that are carried on the data. The scale of measure is […]

#### Variance: A Measure of Dispersion

Variance is a measure of dispersion of a distribution of a random variable. The term variance was introduced by R. A. Fisher in 1918. The variance of a set of observations (data set) is defined as the mean of the squares of deviations of all the observations from their mean. When it is computed for […]

#### Qualitative and Quantitative Research

A research can be classified into two groups: Qualitative and Quantitative Research Qualitative Research Qualitative research involves collecting data from in-dept interviews, observations, field notes, and open-ended questions in questionnaire etc. The researcher himself is the primary data collection instrument and the data could be collected in form of words, images, and patterns etc.For Qualitative […]

#### R Frequently Asked Questions

#### R workspace, object and .RData file

The R program’s structure is similar to the programs written in other computer languages such as C or its successors C++ and Java. However, important differences between these languages and R are (i) R has no header files, (ii) most of the declarations are implicit, (iii) there are no pointers in R, and (iv) text …

#### mctest: An R package for Detection of Collinearity among Regressors

The problem of multicollinearity plagues the numerical stability of regression estimates. It also causes some serious problem in validation and interpretation of the regression model. Consider the usual multiple linear regression model, , where is an vector of observation on dependent variable, is known design matrix of order , having full-column rank , is vector of …

#### Statistical Models in R Language

R language provides an interlocking suite of facilities that make fitting statistical models very simple. The output from statistical models in R language is minimal and one needs to ask for the details by calling extractor functions. Defining Statistical Models; Formulae in R Language The template for a statistical model is a linear regression model …

#### How to View Source Code of R Method/ Function?

Source Code of R Method There are different ways to view the source code of an R method or function. It will help to know how function is working. Internal Functions If you want to see the source code of internal function (functions from base packages), just type the name of the function at R prompt such …

#### Greek letters in R plot label and title

Question: How one can include Greek letter (symbols) in R plot labels? Answer: Greek letters or symbols can be included in titles and labels of graph using the expression command. Following are some examples Note that in these example random data is generated from normal distribution. You can use your own data set to produce …

#### Import Data using read.table function

Question: How I can check my Working Directory so that I would be able to import my data in R. Answer: To find working directory, the command getwd() can be used, that is > getwd() Question: How I can change working directory to my own path. Answer: Use function setwd(), that is > setwd(“d:/mydata”) > …