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Level III
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Capital Market Expectations
Capital Market Expectations
Medium
Which of the following is the best first defense against data-mining bias when developing a CME forecasting model?
A
Require an economic rationale for each variable before testing it statistically
B
Use the largest possible dataset to maximize statistical power
C
Apply machine learning algorithms that automatically select the best predictors
D
Test each variable at a 1% significance level instead of 5%
Select an answer to continue
Tags
#data-mining-bias
#economic-rationale
#variable-selection
#no-story-no-future
#analyst-biases
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