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You can't mention spurious linear regression without predicting the S&P500 with Leinweiber's price of butter in Bangladesh indicator. https://nerdsonwallstreet
by scottlocklin 6y ago
You can't mention spurious linear regression without predicting the S&P500 with Leinweiber's price of butter in Bangladesh indicator.
https://nerdsonwallstreet.typepad.com/my_weblog/files/dataminejune_2000.pdf https://nerdsonwallstreet.typepad.com/my_weblog/files/datami...
- klenwell 6y agoIn a similar vein: https://www.tylervigen.com/spurious-correlations https://www.tylervigen.com/spurious-correlations I'm not convinced all of these are spurious.
- fractionalhare 6y agoOverfitting is insidious. These graphics would convince a lot of people who'd otherwise catch the error in the article without needing it to be explained to them. At that point it's not enough to eyeball the line of best fit, you have to sanity check the explanatory power and do cross validation...