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dc.contributor.authorTofallis, C.
dc.date.accessioned2007-10-18T10:03:53Z
dc.date.available2007-10-18T10:03:53Z
dc.date.issued2007
dc.identifier.citationTofallis , C 2007 ' Least Squares Percentage Regression ' Business School Working Papers , vol. UHBS 2006-6 , University of Hertfordshire .
dc.identifier.otherPURE: 82823
dc.identifier.otherPURE UUID: a6067ca8-a5af-4af8-bd06-21e5520f036b
dc.identifier.otherdspace: 2299/965
dc.identifier.urihttp://hdl.handle.net/2299/965
dc.description.abstractThe percentage error, or error relative to the observed value is usually felt to be more meaningful than the absolute error - yet is rarely used in the fitting of least squares regression models. We therefore explore least squares regression based on the error relative to the observed value of the dependent variable - hence percentage least squares. We are able to derive exact expressions for the regression coefficients when the model is linear in these coefficients. Such a formula is not available in the more widely known method of minimizing the mean absolute percentage error (MAPE). Another advantage of our approach over MAPE is that the solution is unique. For the practising analyst we demonstrate that percentage regression models can easily be fitted using ordinary regression software, as well as spreadsheets, by simple transformation of the data. The method can therefore easily be taught to college students.en
dc.language.isoeng
dc.publisherUniversity of Hertfordshire
dc.relation.ispartofseriesBusiness School Working Papers
dc.rights/dk/atira/pure/core/openaccesspermission/open
dc.titleLeast Squares Percentage Regressionen
dc.contributor.institutionHertfordshire Business School
dc.contributor.institutionSocial Sciences, Arts & Humanities Research Institute
dc.contributor.institutionCentre for Research on Management, Economy and Society
dc.contributor.institutionStatistical Services Consulting Unit
dc.contributor.institutionDepartment of Marketing and Enterprise
dc.relation.schoolHertfordshire Business School
rioxxterms.typeWorking paper
herts.preservation.rarelyaccessedtrue
herts.rights.accesstyperestrictedAccess


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