Session 1 - Chapter 1 Flashcards
What is data ?
Data = A collection of information
What is a database ?
Database = An organized collection of data that firms use for analysis
What is business analytics ?
Business analytics = Plan of action designed by a business practitioner to achieve a business objective. The use of data analysis to aid in business decision making
What is predictive analytics ?
Predictive analytics = The use of data analysis to designed to form predictions about future, unknown, events or outcomes
What is a business strategy ?
Business strategy = Plan of action designed by a business practitioner to achieve a business objective
What are the 4 main groupings of data ?
The 4 main groupings of data are :
1) Cross-sectional data
2) Pooled cross-sectional data
3) Time-series data
4) Panel data
What is cross-sectional data ?
Cross-sectional data = Data that provide a snapshot of information at one fixed in time
What is time-series data ?
Time-series are data that exhibit only variation in time
Ex: Gross Domestic Product per year and per country
What is panel data ?
Panel data are same cross-sectional units over multiple points in time.
Ex: When you take the stock of differents companies but you follow it everytime.
Not pooled cross-section because you can find twice the same companies./state.
What is a DGP ?
DGP = Data Generating Process = The underlying mechanism that produces the pieces of information contained in a dataset.
What are the 4 steps of DGP ?
The 4 steps of DGP =
1) Establish both formal and informal DGP
2) Understand what variables are important
3) Create a representative statistical model
4) Collect and analyze relevant variables and perform simple tests
What are the 3 types of use of data ?
3 types of use of data:
1) Querries
2) Pattern discovery
3) Causal inference
What is unstructured data ?
Any data that cannot be classified and structured
What is structured data ?
Having a clear unit of observation
What is the unit of observation ?
The Unit of Observation = the entity for which information has been collected
Ex: A stock, a country, a year
Ex: A year -> How much is the stock is by year.
What is a pooled cross-sectional data ?
The results of two or more unrelated cross-sectional datasets being combined in one dataset.
Ex: Sensus of the population
How can you define the units of observation ?
To define the units of observation, it’s the data which you can answer the questions who, where, what.
Can you give an example of censored data ?
Ex: Salaries per age, oldery people have the highest wages, so the data is censored.
What is a Query ?
Any request for information from a database
Ex: The sale of
What is a pattern discovery ?
How to discover a pattern between two data.
Ex: Older people have highest wages.
What is a causal inference ?
Directly if X changes variable Y changes.
Indirect -> X variables Z which changes Y.
What are the 3 types of presentation of the information ?
3 types of presentation of information :
1) Reports
2) Scorecards
3) Dashboards
Ex report
A snapshot of the variation of sales of different types of vehicules per month
Ex Dashboard
We have sales, more agregateed. ???????
Ex Scorecard for automobile firm
You ???,,,,
Report
Report don’t give you a trend for different indicators
Give an example of pattern discovery
Pattern discovery (ex: Amazon “People who buy this , also buy this and that.”
What is a lead information ?
an information which give an information about the future
What is a lack information ?
Lack information is a information which give an information about the past or the present.
What Passive prediction ?
You build a model based on past data.
What is an active prediction ?
Experimentations - We have relationship between “X” and “Y”.
What is the difference between informal and formal DGP ?
list the variables - formal - follow step-a process (experimentation or research)
base on the knowledge of the analyst - informal - (not in a scientific process )
