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heteroscedasticity
Oct. 8th, 2003 12:41 pmYay, I learned a new word today, though I am still a little ragged on the meaning (I invite anyone with any insight to educate me).
Heteroscedasticity refers to the degree of scatter the plot of something will exhibit away from it's true or average value. A balky thermometer would report highly heteroscedasticitous results as it measured the temperatures, while a brand new highly responsive perfectly calibrated thermometer would produce results which had much more homoscedasticity.
Though what exactly AutoRegressive Conditional Heteroscedasticity is still eludes me, but it wound up getting someone a Nobel Prize:
http://www.bayarea.com/mld/mercurynews/business/6962692.htm
Heteroscedasticity refers to the degree of scatter the plot of something will exhibit away from it's true or average value. A balky thermometer would report highly heteroscedasticitous results as it measured the temperatures, while a brand new highly responsive perfectly calibrated thermometer would produce results which had much more homoscedasticity.
Though what exactly AutoRegressive Conditional Heteroscedasticity is still eludes me, but it wound up getting someone a Nobel Prize:
http://www.bayarea.com/mld/mercurynews/business/6962692.htm
