Week 6 Flashcards
(5 cards)
1
Q
Heteroscedasticity
A
unequal variance
2
Q
Box cox transformation
A
logarithmic transformation :stretches out the smaller range to enlarge its variability. Shrinks the larger range to reduce its variability
QQ Plot can be used to determine if you need the transformation
3
Q
Trend
A
data that is increasing or decreasing over time
4
Q
You should consider detrending time series data when using factor based model TF
A
T
5
Q
A
