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Hold-out estimates of prediction models for Markov processes

Hold-out estimates of prediction models for Markov processes

We consider the selection of prediction models for Markovian time series. For this purpose, we study the theoretical properties of the hold-out method. In the econometrics literature, the hold-out method is called ā€˜out-of-sampleā€™ and is the main method to select a suitable time series model. This method consists of estimating ā€¦