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Statistics: Continuous Methods

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Title: Slide 1 Author: Ilya Zaliapin Last modified by: Ilya Zaliapin Created Date: 10/11/2004 3:15:53 AM Document presentation format: On-screen Show – PowerPoint PPT presentation

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Title: Statistics: Continuous Methods


1
Statistics Continuous Methods
MATH/STAT 452/652
Fall 2008
Measures of Association
2
Old Faithful Geither
3
Old Faithful Geither
Time
Eruption
Waiting time
Eruption
4
Old Faithful Geither
Long wait
Short wait
5
Old Faithful Geither
Long eruption
Short eruption
6
Old Faithful Geither
Long eruption, long wait
Short eruption, short wait
7
Old Faithful Geither
Conclusion The longer the eruption, the longer
the wait
for the next one
8
Global Warming
9
Global Warming
Carbon dioxide concentration is related to the
Earth temperature
Carbon Dioxide CO2
Temperature
http//www.worldviewofglobalwarming.org
10
Global Warming
Carbon dioxide concentration is related to the
Earth temperature
http//www.seed.slb.com
11
Global Warming
Possible solution Control CO2 to affect
temperature
http//www.greendiary.com
12
Portfolio management
?
Each asset can be described by the (possible)
distribution of future values.
13
Portfolio management
Asset A
Asset B
http//www.e-stockpro.com
Portfolio (AB)
?
14
Some processes (and random variables) are
connected
We can measure (or control) one process to
predict
(or control) another
Thus, we need to a) manipulate with several
random variables b) establish connections among
random variables
15
Data set Davis from package R
Outlier
16
Data set Davis from package R
Kendalls t 0.36
Pearsons r -0.59
Spearmans r 0.49
17
Old Faithful geyser data
Kendalls t 0.57
Pearsons r 0.9
Spearmans r 0.78
18
Non-monotone trend
Kendalls t 0.01
Pearsons r 0.01
Spearmans r 0.01
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