Why does the MSD penalize a forecasting method much more for large forecast errors than for small

Question:

Why does the MSD penalize a forecasting method much more for large forecast errors than for small forecast errors?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Business Statistics In Practice Using Data Modeling And Analytics

ISBN: 9781259549465

8th Edition

Authors: Bruce L Bowerman, Richard T O'Connell, Emilly S. Murphree

See More Books

Question Posted: Nov 26, 2018 11:22 AM

See More Questions

The Centerville Water Department provides water for the entire town and outlying areas. The number of acre-feet of water consumed in each of the four seasons of the three preceding years is shown...
Mark Lawrencethe man with two first nameshas been pursuing a vision for more than two years. This pursuit began when he became frustrated in his role as director of human resources at Cutting Edge, a...
a. Mark first asks you to forecast daily demand for the next week using the data from the past 13 weeks. You should make the forecasts for all the days of the next week now (at the end of week 5),...
A parallel-plate capacitor with circular plates of radius 0.10 m is being discharged. A circular loop of radius 0.20 m is concentric with the capacitor and halfway between the plates. The...
In March, T. Carter established Carter Delivery Service. The account headings are presented below. Transactions completed during the month of March follow. a. Carter deposited $25,000 in a bank...
David placed $80,000 in trust with income to Steve for his life and the remainder to Lil (or her estate). At the time of the gift, given the prevailing interest rate, Steve's life estate was valued...
Consider a wheel with $n$ sectors. If the wheel pointer lands on sector $i$, the payoff obtained is $r_{i}$ for every unit bet on that sector. The chance of landing on sector $i$ is \(p_{i},...
Part of your companys a c counting database was destroyed when Godzilla attacked the city. You have been able to gather the following data from your files. Reconstruct the remaining information using...
Explain how convergence differs from harmonization. In your opinion, what are the two most important arguments in favor of international convergence for US public companies? In your opinion, what are...
(a) Suppose you imbedded some free charge in a piece of glass. About how long would it take for the charge to flow to the surface? (b) Silver is an excellent conductor, but its expensive. Suppose you...
Which methodmethod A or method Bgives the smallest MAD? The smallest MSD? The smallest MAPE? Compare two forecasting methodsmethod A and method B. Suppose that method A gives the point forecasts 57,...
What is the MAD? What is the MSD? What is the MAPE? How do we use these quantities?
Challenges in the design of super critical water reactors?
The questions below should be calculated based on the following assumptions (which will be the same for questions 14-17) : The band Thrice consists of four members: Dustin Kensrue, Teppei Teranishi,...
A. Johnny Rose has a dining room table and accompanying sideboard that he purchased from Rooms To Go only two years ago that he can no longer use. He offers both items for sale for $450.00 on the...
Use these materials: Use the "Sources of Law" section of the Lau & Johnson (pages. 14-22) This is the website for "Sources of Law"...
Respond to this paragraph with details. Collective bargaining isthe process in which working people, through their unions, negotiate contracts with their employers to determine their terms of...
Last year, Clarice Bernal took her 2-year old daughter to the California State Fair in Sacramento. At the Fair, she paid $12 for her and her daughter to ride Whaler's Adventure, a boat ride through a...
A violin string is 30 cm long. It sounds the musical note A (440 Hz) when played without fingering. How far from the end of the string should you place your finger to play the note C (523 Hz)?
The unadjusted trial balance of Secretarial Services is as follows: SECRETARIAL SERVICES Unadjusted Trial Balance as at 31 December 2017 Account Debit Credit Cash at bank Office supplies Prepaid...
A company that makes designer sandals has tracked the production volume over the past six months. Because of the companys focus on quality, some sandals need to be reworked before they are fit to be...
A department store manager randomly sampled customers in her store. She recorded the number of minutes each customer spent in the store and then asked the customers how many miles they had traveled...
A concert promoter has randomly sampled 100 concertgoers to determine whether there is a linear relationship between income level and the number of concerts attended per year. The correlation between...
How do prokaryotes engage in sophisticated social behaviors, such as altruism and kin selection, and what genetic and ecological factors influence the evolution of these traits?
N Suppose for the integral T|[a,b] () = f f(x)dx, we approximate it with the midpoint method, which for mesh {x;} where xj = a + , = b-a N j=0 is given by N-1 1 A[a,b] (f) = 5x f (xj+1/2), where...
What are the structural and functional complexities of prokaryotic cell membranes, and how do they contribute to processes such as nutrient uptake, osmoregulation, and signal transduction?

Why does the MSD penalize a forecasting method much more for large forecast errors than for small

Question:

Step by Step Answer:

A squared forecast error is especially large when the error itse...View the full answer

Business Statistics In Practice Using Data Modeling And Analytics

Students also viewed these Mathematics questions