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Coefficients of Structural Association

Author

Listed:
  • Stan Lipovetsky

    (GfK Custom Research North America, 8401 Golden Valley Road, Minneapolis, MN 55427, USA)

  • Igor Mandel

    (Telmar Group Inc., 470 Park Ave South, New York, NY 10018, USA)

Abstract

We consider estimation of one variable’s dependence against another one in a new measure called a coefficient of structural association (CSA). It is based on the distribution of one variable along the segments of another one, and yields a gauge similar to the correlation ratio in the nonlinear regression modeling. This index can be constructed as a quotient of the observed and maximum possible variances. The CSA relations to other measures of dependence are described too, particularly, for binary variables CSA reduces to the Loevinger’s coefficient of association. Numerical simulations show that CSA presents a powerful tool for data analysis where traditional measures fail. This method can enrich both theoretical and practical estimations for identifying hidden patterns in the data and help managers and researchers in taking appropriate decisions.

Suggested Citation

  • Stan Lipovetsky & Igor Mandel, 2017. "Coefficients of Structural Association," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 16(02), pages 285-313, March.
  • Handle: RePEc:wsi:ijitdm:v:16:y:2017:i:02:n:s0219622014500552
    DOI: 10.1142/S0219622014500552
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    References listed on IDEAS

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    9. Stan Lipovetsky, 2008. "Surf — Structural Unduplicated Reach And Frequency: Latent Class Turf And Shapley Value Analyses," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 7(02), pages 203-216.
    10. Yi Peng & Gang Kou & Guoxun Wang & Honggang Wang & Franz I. S. Ko, 2009. "Empirical Evaluation Of Classifiers For Software Risk Management," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 8(04), pages 749-767.
    11. Conklin, Michael & Powaga, Ken & Lipovetsky, Stan, 2004. "Customer satisfaction analysis: Identification of key drivers," European Journal of Operational Research, Elsevier, vol. 154(3), pages 819-827, May.
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    13. W. Michael Conklin & Stan Lipovetsky, 2005. "Marketing Decision Analysis By Turf And Shapley Value," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 4(01), pages 5-19.
    14. Jianping Li & Xiaolei Sun & Wan He & Ling Tang & Weixuan Xu, 2009. "Modeling Dynamic Correlations And Spillover Effects Of Country Risk: Evidence From Russia And Kazakhstan," International Journal of Information Technology & Decision Making (IJITDM), World Scientific Publishing Co. Pte. Ltd., vol. 8(04), pages 803-818.
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