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We discuss the relevance of the recent Machine Learning (ML) literature for economics and econometrics. First we discuss the differences in goals, methods and settings between the ML literature and the traditional econometrics and…

Econometrics · Economics 2019-03-26 Susan Athey , Guido Imbens

Machine learning algorithms can now outperform classic economic models in predicting quantities ranging from bargaining outcomes, to choice under uncertainty, to an individual's future jobs and wages. Yet this predictive accuracy comes at a…

Theoretical Economics · Economics 2025-08-27 Annie Liang

As the amount of economic and other data generated worldwide increases vastly, a challenge for future generations of econometricians will be to master efficient algorithms for inference in empirical models with large information sets. This…

Computation · Statistics 2020-04-27 Dimitris Korobilis , Davide Pettenuzzo

This article proposes predictive economics as a distinct analytical perspective within economics, grounded in machine learning and centred on predictive accuracy rather than causal identification. Drawing on the instrumentalist tradition…

General Economics · Economics 2025-10-07 Miguel Alves Pereira

Ethnography (social scientific methods that illuminate how people understand, navigate and shape the real world contexts in which they live their lives) and machine learning (computational techniques that use big data and statistical…

Machine Learning · Computer Science 2024-12-10 Zhuofan Li , Corey M. Abramson

Data scientists and statisticians are often at odds when determining the best approach, machine learning or statistical modeling, to solve an analytics challenge. However, machine learning and statistical modeling are more cousins than…

Machine Learning · Computer Science 2022-01-10 Michele Bennett , Karin Hayes , Ewa J. Kleczyk , Rajesh Mehta

There is an analogy between machine learning systems and economic entities in that they are both adaptive, and their behaviour is specified in a more-or-less explicit way. It appears that the area of AI that is most analogous to the…

Computers and Society · Computer Science 2020-01-03 Travis LaCroix , Yoshua Bengio

This article provides a curated review of selected papers published in prominent economics journals that use machine learning (ML) tools for research and policy analysis. The review focuses on three key questions: (1) when ML is used in…

General Economics · Economics 2023-04-21 Ajit Desai

Standard economic theory uses mathematics as its main means of understanding, and this brings clarity of reasoning and logical power. But there is a drawback: algebraic mathematics restricts economic modeling to what can be expressed only…

General Economics · Economics 2021-04-08 W. Brian Arthur

Breiman's classic paper casts data analysis as a choice between two cultures: data modelers and algorithmic modelers. Stated broadly, data modelers use simple, interpretable models with well-understood theoretical properties to analyze…

Machine Learning · Statistics 2021-04-27 Andrew C. Miller , Nicholas J. Foti , Emily B. Fox

Machine learning is the capacity of a computational system to learn structures from datasets in order to make predictions on newly seen data. Such an approach offers a significant advantage in music scenarios in which musicians can teach…

Human-Computer Interaction · Computer Science 2016-11-03 Rebecca Fiebrink , Baptiste Caramiaux

This study aims to examine the challenges and applications of machine learning for financial research. Machine learning algorithms have been developed for certain data environments which substantially differ from the one we encounter in…

Statistical Finance · Quantitative Finance 2021-03-29 Kristof Lommers , Ouns El Harzli , Jack Kim

This paper aims to explore the application of machine learning in forecasting Chinese macroeconomic variables. Specifically, it employs various machine learning models to predict the quarterly real GDP growth of China, and analyzes the…

General Economics · Economics 2024-07-08 Yanqing Yang , Xingcheng Xu , Jinfeng Ge , Yan Xu

Machine learning is the study of computer algorithms that can automatically improve based on data and experience. Machine learning algorithms build a model from sample data, called training data, to make predictions or judgments without…

In a landmark paper published in 2001, Leo Breiman described the tense standoff between two cultures of data modeling: parametric statistical and algorithmic machine learning. The cultural division between these two statistical learning…

Machine Learning · Statistics 2020-05-29 Subhadeep , Mukhopadhyay , Kaijun Wang

We study an alternative use of machine learning. We train neural nets to provide the parameter estimate of a given (structural) econometric model, for example, discrete choice or consumer search. Training examples consist of datasets…

Econometrics · Economics 2025-02-10 Yanhao , Wei , Zhenling Jiang

Regression has attracted immense interest lately due to its effectiveness in tasks like predicting values. And Regression is of widespread use in multiple fields such as Economics, Finance, Business, Biology and so on. While considerable…

Machine Learning · Computer Science 2021-04-27 Yunpeng Tai

A measure of relative importance of variables is often desired by researchers when the explanatory aspects of econometric methods are of interest. To this end, the author briefly reviews the limitations of conventional econometrics in…

Econometrics · Economics 2020-08-25 Akash Malhotra

Research at the intersection of machine learning, programming languages, and software engineering has recently taken important steps in proposing learnable probabilistic models of source code that exploit code's abundance of patterns. In…

Software Engineering · Computer Science 2018-05-08 Miltiadis Allamanis , Earl T. Barr , Premkumar Devanbu , Charles Sutton

While climate models provide insights for climate decision-making, their use is constrained by significant computational and technical demands. Although machine learning (ML) emulators offer a way to bypass the high computational costs,…

Machine Learning · Computer Science 2026-03-25 Luca Schmidt , Nina Effenberger
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