are there any usecases of regression on financial data?
Missing relevant example in financial domain?regression/mulitivariate regression?
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Hello,
Yes, simple and multivariate regression can be very useful in a financial context. We can study the proportion of variability explained by the independent variable(s). So, for example if we want to regress a stock's returns on national GDP growth,a regression would allow us to study the relationship between the two variables in a more complete way compared to a correlation analysis.
Best,
Ned
