All articles with 'correlation' Tag

Here is a trap that is easy to fall in to. Confusing correlation as causation. As analysts, it is our job to see the data as it is rather than imply causation that doesn’t exist.

Let’s sample a chart, recently featured in Economist’s graphic detail under the title Measuring well-being.

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In the 30th session of Chandoo.org podcast, let’s learn how to uncover fraud in data.

What is in this session?

In the wake of hedge fund scams, accounting frauds and globalization, We, analysts are constantly second guessing every source of data. So how do you answer a simple question like, “am I being lied to?” while looking at a set of numbers your supplier has sent you.

That is our topic for this podcast session.

In this podcast, you will learn

• Quick announcements about 50 ways & 200k BRM
• Introduction to fraud detection
• 5 techniques for detecting fraud
  • Benford’s law
  • Auto correlation
  • Discontinuity at zero
  • Analysis of distribution
  • Learning systems & decision trees
• Implementing these techniques in Excel
• A word of caution