Units of measurement and the inverse hyperbolic sine transformation

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Standard

Units of measurement and the inverse hyperbolic sine transformation. / Aihounton, Dossou Ghislain Boris; Henningsen, Arne.

I: The Econometrics Journal, Bind 24, Nr. 2, 2021, s. 334–351.

Publikation: Bidrag til tidsskriftTidsskriftartikelfagfællebedømt

Harvard

Aihounton, DGB & Henningsen, A 2021, 'Units of measurement and the inverse hyperbolic sine transformation', The Econometrics Journal, bind 24, nr. 2, s. 334–351. https://doi.org/10.1093/ectj/utaa032

APA

Aihounton, D. G. B., & Henningsen, A. (2021). Units of measurement and the inverse hyperbolic sine transformation. The Econometrics Journal, 24(2), 334–351. https://doi.org/10.1093/ectj/utaa032

Vancouver

Aihounton DGB, Henningsen A. Units of measurement and the inverse hyperbolic sine transformation. The Econometrics Journal. 2021;24(2):334–351. https://doi.org/10.1093/ectj/utaa032

Author

Aihounton, Dossou Ghislain Boris ; Henningsen, Arne. / Units of measurement and the inverse hyperbolic sine transformation. I: The Econometrics Journal. 2021 ; Bind 24, Nr. 2. s. 334–351.

Bibtex

@article{0b6c42ba28154c63a276e7178f0a6adf,
title = "Units of measurement and the inverse hyperbolic sine transformation",
abstract = "The inverse hyperbolic sine (IHS) transformation is frequently applied in econometric studies to transform right-skewed variables that include zero or negative values. We show that regression results can heavily depend on the units of measurement of IHS-transformed variables. Hence, arbitrary choices regarding the units of measurement for these variables can have a considerable effect on recommendations for policies or business decisions. In order to address this problem, we suggest a procedure for choosing units of measurement for IHS-transformed variables. A Monte Carlo simulation assesses this procedure under various scenarios, and an empirical illustration shows the relevance and applicability of our suggested procedure.",
author = "Aihounton, {Dossou Ghislain Boris} and Arne Henningsen",
year = "2021",
doi = "10.1093/ectj/utaa032",
language = "English",
volume = "24",
pages = "334–351",
journal = "Econometrics Journal",
issn = "1368-4221",
publisher = "Wiley",
number = "2",

}

RIS

TY - JOUR

T1 - Units of measurement and the inverse hyperbolic sine transformation

AU - Aihounton, Dossou Ghislain Boris

AU - Henningsen, Arne

PY - 2021

Y1 - 2021

N2 - The inverse hyperbolic sine (IHS) transformation is frequently applied in econometric studies to transform right-skewed variables that include zero or negative values. We show that regression results can heavily depend on the units of measurement of IHS-transformed variables. Hence, arbitrary choices regarding the units of measurement for these variables can have a considerable effect on recommendations for policies or business decisions. In order to address this problem, we suggest a procedure for choosing units of measurement for IHS-transformed variables. A Monte Carlo simulation assesses this procedure under various scenarios, and an empirical illustration shows the relevance and applicability of our suggested procedure.

AB - The inverse hyperbolic sine (IHS) transformation is frequently applied in econometric studies to transform right-skewed variables that include zero or negative values. We show that regression results can heavily depend on the units of measurement of IHS-transformed variables. Hence, arbitrary choices regarding the units of measurement for these variables can have a considerable effect on recommendations for policies or business decisions. In order to address this problem, we suggest a procedure for choosing units of measurement for IHS-transformed variables. A Monte Carlo simulation assesses this procedure under various scenarios, and an empirical illustration shows the relevance and applicability of our suggested procedure.

U2 - 10.1093/ectj/utaa032

DO - 10.1093/ectj/utaa032

M3 - Journal article

VL - 24

SP - 334

EP - 351

JO - Econometrics Journal

JF - Econometrics Journal

SN - 1368-4221

IS - 2

ER -

ID: 253652681