Quant Fun for Friday

Which of the following is NOT a model that has a qualitative dependent variable? A) Logit. B) Probit. C) Event study. D) Discriminant analysis.


argh. not A or B. I’m guessing C.

100% C

dinesh you’re an all-star… wtf is discriminant analysis or event study?

Dinesh is right on, the answer is C. An event study is the estimation of the abnormal returns–generally associated with an informational event—that take on quantitative values. So yea, where did this stuff come from since I do not remember it at all. I totally guessed it right but I had no idea.

cool - C is correct! ilvino- DA is basically used to categorize the cases that you are handling, hence creating a dichotomy. But Event Study is analyzing the event of some event occuring like a merger or a takeover or a bankruptcy… bla. How I remeber this with so surity, as I had done a google search of Logit and Probit models and whatever articals I read has a mention of DA. Nowhere did I see Event Study. I think Joey can explain this in detail. I have no idea abt it

^ man you gotta check the spelling mistakes I have done in my above posts. This surely tell how brutal the work would have been at office. Sighh!

What do you mean dinesh is correct? How about mwvt9 coming in with the gutsy C call in the one slot. No respect. EDIT: Under one minute of the original post too!

Haha… I forgot to mention that question marks or guesses in answers receive less points than an answer which states “100%”. mwvt9: 2 points ilvino: 2 points dinesh: 5 points

Noted. I will boldy put my answers in CAPS and with a period at the end even if it is a guess. I will also put 1000% to trump dinesh.