THE PROBLEM AND ITS BACKGROUND
Accounting is the language of business and, by extension, the language of all
things financial. Accountants are needed to translate the complexities of finance into
summary numbers which the public can
From data starvation to data deluge, the shift was immediate and massive in magnitude. Those
who saw value in liberating data and making it easier for the rest of us to access and use it have
facilitated the new dawn of the age of data. These entities hav
I illustrate this with R.
Reproducing Hamermeshs Table in R
Before I begin, I would like you to recall the discussion on weighted means and standard deviation.
The table being reproduced reports weighted statistics for several variables. Though
The dof are needed to determine the probability of obtaining a t-value as extreme as the one
calculated here. When I plug in the numbers in the equations, I obtain the following results:
t = 6.46
dof = 50.82
The absolute t-stat value of 6.4 is significant
Percent of Total
teaching evaluation score
Figure 5.24 Histograms for teaching evaluation scores differentiated by gender
Teaching Ratings 163
I have plotted in Figure 5.24 separate histograms for males and females. We notice now that
no yes Total
gender 1 female 50 (49%) 145 (40%) 195 (42%)
male 52 (51%) 216 (60%) 268 (58%)
1: n (column percentage)
Generating Output with Stata 133
The remaining two commands in the last chunk of code present the output in native Stata
players worth. There is some truth to it. During 201314, Kobe Bryant of the LA Lakers earned
more than $30 million. However, he was not the highest scorer in the team (see Figure 6.21 ). The
basketball example provides us the backdrop to conduct the compa
Pew Research Centre (Pew) is a nonpartisan fact tank that informs the public about the issues,
attitudes, and trends shaping America and the world. 23 Pew conducts several surveys every year
and generates tremendous insights about the changing world and e
y = 15.47 + 7.78 * adults +
The model suggests that the base weekly expenditure on alcohol is $15.47. Afterward, each
additional household member results in $7.78 of additional weekly alcohol spending. The impact
of income is captured in Model 2. The rev
income level, commute times increase with the concentration of African Americans in a
The Congested Lives in Big Cities 179
neighborhood. In fact, the discrepancy is felt the strongest for higher concentration of African
Americans in high-income neighborh
methods will provide him or her with the answer. Instead, I believe a data scientist is one who
is fully cognizant of ones innate inability in predicting the future. A data scientist is one who
appreciates the analytics will deliver an informed possible v
Recession as an example. 3 He focuses on the S&P 500 index returns, which are often assumed to
follow Normal distribution. He illustrates that during 1929 and 2009, the biggest one-day drop in
S&P 500 returns was 23% in 1987. If returns were indeed Normal
25. Angrist, J. and Pischke, J.S. (2015, May 21). Why econometrics teaching needs an overhaul.
Retrieved September 19, 2015, from https:/agenda.weforum.org/2015/05/whyeconometricsteachingneeds-an-overhaul/?utm_content=buffer98041&utm_medium=social&
Figure 5.5 Improved coloring for the scatter plot with best-fit line
By implementing these two changes, you can see that the best-fit line is more obvious and
easily recognizable on top of the gray-colored dots that represent the scatter between teaching
have so much promise, has become the sick (and hungry) man of South Asia.
The GHI explains how countries have performed over the past two decades in fighting
hunger and disease. The report reveals the early gains made by South Asia in the 1990s to fight
might remain vacant for the lack of readily available talent. The global search for skilled data
is not merely a search for statisticians or computer scientists. In fact, the firms are searching
for well-rounded individuals who possess the subj
big data was coined, a publication decided to engage in a big data exercise of their time. Tim
Harford explains the story in the New York Times . 37 The Literary Digest , a respected publication,
decided to survey 10 million individuals, which constituted
On the other hand, a table would have listed the vote share for each party in specific terms.
The precision and the ability to present a multitude of statistics in a single table are the reasons
behind the longevity of tables.
In this chapter, I have incr
weeks, if not months. The childs effort demonstrates the key aspect of learning: repetition, until
you get it right.
The second key finding about learning a new word was about the childs caregivers, who
simplified their complex language to a structure tha
cgroup = c("Internet & digital media users"),
n.cgroup = c(4), rowlabel = "User status")
Table 4.6 Presenting Data After Cleaning Up the Variables
Internet & digital media users
number of bedrooms 15,956
size of lot in square feet 3.010*
size of house in square feet 180.1*
=1 if home is colonial style 19,888
R squared 0.676
the sampling frame. Some observations would carry more weight than others.
In addition, not all observations may be treated as independent observations in a sample
data set. For instance, the same respondent might record more than one observation in the d
to the people who visibly do not belong to the majority race at a place. For the would-be
South Asian emigrants, the grass appears greener in Canada.
The labor force statistics from the NHS reveal the uneven geography of employment
outcomes for various et
Learning to Speak Regression
Regression models use specific terms to describe the processes. To be proficient in regression
analysis, we need to know the unique terms and be comfortable with their usage. The variable
of interest, the one being analyzed, i
Hypothesis 2: Highly educated individuals are less likely to take up smoking.
Hypothesis 3: Low-income individuals are more likely to smoke.
Hypothesis 4: Youth are more likely to indulge in smoking.
I will test these hypotheses using a logit model, wh
In fact, the size of the labor force, transit ridership, and the presence of satellite commuter towns
(for example, Oshawa) explain Torontos long commute times (see Figure 3.7 ). The focus should
not necessarily be on reducing commute times, but instead o