EconStatsCraft rigorous, plain-spoken econometrics
Econometrics that explains itself.
Regression, panel data, time series and the whole battery of tests. Every result is followed by a verdict you can defend.
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EconStatsCraft › World map
Shades every country by one of your columns. Country names, ISO codes and World Bank spellings all match, so a World Bank panel maps with nothing asked of you - and anything that does not match is named rather than quietly left off.
A choropleth colours each country by a value. It is the most persuasive chart in common use and one of the most misleading, for a reason that has nothing to do with the data: it colours AREA, and countries have wildly different areas and populations. Russia and Canada dominate any world map visually while holding a small share of the world's people, so the eye reads geography as magnitude.
Cross-country data where where is part of the question: growth, income, inflation, tax take, life expectancy. It is a way of looking at data, not a test - use it before a cross-country regression to see whether the variation is regional, which is exactly the variation a country fixed effect would absorb.
Each region r is filled with f(v_r) for a value v_r and a colour scale f. The visual weight a region carries is proportional to its projected AREA, not to its population, its economy, or the reliability of its measurement. Projection compounds this: the Mercator projection inflates area by 1/\cos(\phi) at latitude \phi, so Greenland is drawn about fourteen times too large relative to the equator. An equal-area projection removes that specific distortion and leaves the deeper one - that area is the wrong variable - untouched.
Map total COVID cases and you get a map of population: the United States, India and Brazil are dark because they are large, and the map has told you nothing you did not know. Map cases per 100,000 and the picture rearranges completely, with small European countries darkest. Same data, same chart type, opposite conclusions - and the only difference is dividing by a denominator. That division is the single most important decision in the whole chart, and it is made before the mapping software is opened.
| If you see this | It means | Do this |
|---|---|---|
| Large countries dominating | Area encodes nothing but area | Check you are mapping a rate, not a count |
| A map of totals | It will show population, whatever the variable | Divide by population |
| The pattern changing with the classing | Expected and under-reported | State the method; show a histogram of the values |
| Greenland enormous | Mercator | Use an equal-area projection |
| Missing countries looking like low values | The scale runs into the no-data colour | Make no-data visually distinct |
| Small states invisible | Inherent to the encoding | Add a ranked table |
Heat map, the same colour-encoding problem on a grid. State and district maps, the same cautions at a finer scale.
Bivariate map · Flow map · India - state map · India - district map
Line chart · Area chart · Bar chart · Stacked bar · Scatter plot · Bubble chart · Histogram · Box plot · Pie chart · Heat map · Rebased to 100 · Lorenz curve and Gini
World map · Bivariate map · Flow map · India - state map · India - district map
Descriptive statistics · Summary by group · Two-way table · Classical statistical tests
Multiple regression (OLS) · Logit / Probit · Tobit (censored) · Truncated regression · Multinomial logit · Ordered logit / probit · Quantile regression · Poisson / Negative binomial
Time-varying coefficients (Kalman) · Unit root tests · Correlogram (ACF / PACF) · ARIMA / SARIMA · Rolling-origin cross-validation · Theta method · Unobserved components · STL forecasting · Forecast combination · Markov regime switching · Change frequency (resample) · ARCH / GARCH volatility · Decompose & filter · Spectral analysis · Exponential smoothing · Forecast accuracy
Yield curve (Nelson–Siegel / Svensson) · Dynamic factor model · Dynamic regression (ARIMAX) · Structural VAR · VAR · Granger causality · Cointegration · VECM · ARDL & bounds test
Panel regression · Panel cointegration tests · Heterogeneous panel: Mean Group & PMG · Gravity model of trade · Dynamic panel GMM · Panel diagnostics · Panel unit-root tests
Principal components (PCA) · Factor analysis · Cluster analysis
Conjoint analysis · MaxDiff (best–worst scaling) · TURF - reach of a product line · Price sensitivity (Van Westendorp) · Market basket analysis · Perceptual map · Scale reliability (Cronbach’s alpha) · Key driver analysis
Spatial autocorrelation · Spatial regression · Heckman selection · Instrumental variables (2SLS) · Difference-in-differences · Staggered difference-in-differences · Regression discontinuity · Matching & weighting · Oaxaca–Blinder decomposition
Black–Scholes option pricing · Bond price, duration & convexity · Merton distance to default · EMI / home loan planner · CAPM / beta estimation · Multi-factor model · Portfolio optimization · Value at Risk & Expected Shortfall · Performance & drawdown · Time value of money & NPV/IRR · Equity valuation (DDM, FCF, residual income) · Cost of capital (WACC) · Binomial option pricing · Option strategies (payoff & profit) · Forwards, futures & swaps · Credit risk & Basel capital · Extreme value theory (tail risk)
Life table · Life annuity · Life insurance pricing · Chain ladder reserving · Buhlmann credibility · Survival analysis · Mortality graduation · Aggregate loss model · Ruin probability · Multi-state Markov model · Loss severity fitting
Monte Carlo experiment · F-test, Wald & Chow · Structural breaks & stability
Regression vs machine learning · Ridge / Lasso / Elastic Net · Random forest · Gradient boosting
EconStatsCraft rigorous, plain-spoken econometrics
Regression, panel data, time series and the whole battery of tests. Every result is followed by a verdict you can defend.
Load a dataset to see it here.
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