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We propose a semi-structured discrete-time multi-state model to analyse mortgage delinquency transitions. This model combines an easy-to-understand structured additive predictor, which includes linear effects and smooth functions of time…

Applications · Statistics 2026-03-30 Victor Medina-Olivares , Wangzhen Xia , Stefan Lessmann , Nadja Klein

When modeling geostatistical or areal data, spatial structure is commonly accommodated via a covariance function for the former and a neighborhood structure for the latter. In both cases the resulting spatial structure is a consequence of…

Methodology · Statistics 2015-04-20 Garritt L. Page , Fernando A. Quintana

The expansion of residential demand response programs and increased deployment of controllable loads will require accurate appliance-level load modeling and forecasting. This paper proposes a conditional hidden semi-Markov model to describe…

Applications · Statistics 2018-10-10 Yuting Ji , Elizabeth Buechler , Ram Rajagopal

Forecasters using flexible neural networks (NN) in multi-horizon distributional regression setups often struggle to gain detailed insights into the underlying mechanisms that lead to the predicted feature-conditioned distribution…

Machine Learning · Computer Science 2024-12-23 Alessandro Brusaferri , Danial Ramin , Andrea Ballarino

In this study, MLP models with dynamic structure are applied to factor models for asset pricing tasks. Concretely, the MLP pyramid model structure was employed on firm-characteristic-sorted portfolio factors for modelling the large-capital…

Pricing of Securities · Quantitative Finance 2025-05-07 Shanyan Lai

Accurate long-horizon house-price forecasting requires benchmarks that capture temporal dynamics together with time-varying local context. However, existing public resources remain fragmented: many datasets have limited spatial coverage,…

Artificial Intelligence · Computer Science 2026-02-10 Shengkun Wang , Yanshen Sun , Fanglan Chen , Linhan Wang , Naren Ramakrishnan , Chang-Tien Lu , Yinlin Chen

I studied the convergence of regional house prices to national prices in USA by analyzing time-series of house price indices of 9 Census Divisions. I found the evidence of the convergence in some parts of the country using asymmetric unit…

Risk Management · Quantitative Finance 2013-06-18 Argyn Kuketayev

This paper investigates estimation and inference of a Spatial Arbitrage Pricing Theory (SAPT) model that integrates spatial interactions with multi-factor analysis, accommodating both observable and latent factors. Building on the classical…

Econometrics · Economics 2025-11-04 Zhaoxing Gao , Sihan Tu , Ruey S. Tsay

The accurate prediction of short-term electricity prices is vital for effective trading strategies, power plant scheduling, profit maximisation and efficient system operation. However, uncertainties in supply and demand make such…

Econometrics · Economics 2023-04-20 Mira Watermeyer , Thomas Möbius , Oliver Grothe , Felix Müsgens

We propose an extension of Markov-switching generalized additive models for location, scale, and shape (MS-GAMLSS) that allows covariates to influence not only the parameters of the state-dependent distributions but also the state…

Methodology · Statistics 2026-01-08 Katharina Ammann , Timo Adam , Jan-Ole Koslik

Latent factor models are widely used in the social and behavioral science as scaling tools to map discrete multivariate outcomes into low dimensional, continuous scales. In political science, dynamic versions of classical factor models have…

Applications · Statistics 2026-01-28 Rayleigh Lei , Abel Rodriguez

We study historical calibration of one- and two-factor models that are known to describe relatively well the dynamics of energy underlyings such as spot and index natural gas or oil prices at different physical locations or regional power…

Pricing of Securities · Quantitative Finance 2010-11-23 Josh Gray , Konstantin Palamarchuk

We analyze the French housing market prices in the period 1970-2022, with high-resolution data from 2018 to 2022. The spatial correlation of the observed price field exhibits logarithmic decay characteristic of the two-dimensional random…

Statistical Mechanics · Physics 2025-03-28 Antoine-Cyrus Becharat , Michael Benzaquen , Jean-Philippe Bouchaud

We describe an approach for exploiting structure in Markov Decision Processes with continuous state variables. At each step of the dynamic programming, the state space is dynamically partitioned into regions where the value function is the…

Artificial Intelligence · Computer Science 2012-07-19 Zhengzhu Feng , Richard Dearden , Nicolas Meuleau , Richard Washington

We propose a new structural model that can compute the electricity spot and forward prices in two coupled markets with limited interconnection and multiple fuels. We choose a structural approach in order to represent some key…

Mathematical Finance · Quantitative Finance 2017-04-21 Clemence Alasseur , Olivier Feron

Latent force models (LFM) are principled approaches to incorporating solutions to differential equations within non-parametric inference methods. Unfortunately, the development and application of LFMs can be inhibited by their computational…

Machine Learning · Statistics 2014-05-30 Steven Reece , Stephen Roberts , Siddhartha Ghosh , Alex Rogers , Nicholas Jennings

We propose a novel class of flexible latent-state time series regression models which we call Markov-switching generalized additive models for location, scale and shape. In contrast to conventional Markov-switching regression models, the…

Methodology · Statistics 2018-05-18 Timo Adam , Andreas Mayr , Thomas Kneib

We propose a novel framework for modeling time-varying persistence in economic time series, allowing for smoothly evolving heterogeneity in shock dynamics. We leverage localized regression techniques to flexibly identify changes in…

General Finance · Quantitative Finance 2025-06-06 Jozef Barunik , Lukas Vacha

Policymakers decide on alternative policies facing restricted budgets and uncertain, ever-changing future. Designing public policies is further difficult due to the need to decide on priorities and handle effects across policies. Housing…

Multiagent Systems · Computer Science 2021-10-29 Bernardo Alves Furtado

Spatio-temporal problems exist in many areas of knowledge and disciplines ranging from biology to engineering and physics. However, solution strategies based on classical statistical techniques often fall short due to the large number of…

Applications · Statistics 2017-06-15 Emil B. Iversen , Rune Juhl , Jan K. Møller , Jan Kleissl , Henrik Madsen , Juan M. Morales