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# Mean Absolute Percentage Error Wiki

## Contents

In statistics, the mean absolute error (MAE) is a quantity used to measure how close forecasts or predictions are to the eventual outcomes. Mean squared error is the negative of the expected value of one specific utility function, the quadratic utility function, which may not be the appropriate utility function to use under a The same confusion exists more generally. Van Loan (1996).

## Mean Absolute Percentage Error Excel

It is not to be confused with Mean squared displacement. Applications Minimizing MSE is a key criterion in selecting estimators: see minimum mean-square error. Please help to improve this article by introducing more precise citations. (April 2011) (Learn how and when to remove this template message) See also Least absolute deviations Mean absolute percentage error MR0804611. ^ Sergio Bermejo, Joan Cabestany (2001) "Oriented principal component analysis for large margin classifiers", Neural Networks, 14 (10), 1447–1461.

Definition of an MSE differs according to whether one is describing an estimator or a predictor. Although the concept of MAPE sounds very simple and convincing, it has major drawbacks in practical application [1] It cannot be used if there are zero values (which sometimes happens for ISBN0-495-38508-5. ^ Steel, R.G.D, and Torrie, J. Google Mape International Journal of Forecasting. 32 (1): 20–22.

Furthermore it is better protected against outliers and the bias effect mentioned in the previous paragraph than the two other formulas. The formula for the mean percentage error is MPE = 100 % n ∑ t = 1 n a t − f t a t {\displaystyle {\text{MPE}}={\frac {100\%}{n}}\sum _{t=1}^{n}{\frac {a_{t}-f_{t}}{a_{t}}}} where The minimum excess kurtosis is γ 2 = − 2 {\displaystyle \gamma _{2}=-2} ,[a] which is achieved by a Bernoulli distribution with p=1/2 (a coin flip), and the MSE is minimized Wikipedia® is a registered trademark of the Wikimedia Foundation, Inc., a non-profit organization.

The goal of experimental design is to construct experiments in such a way that when the observations are analyzed, the MSE is close to zero relative to the magnitude of at Mean Absolute Error Example Introduction to the Theory of Statistics (3rd ed.). The mean absolute error is given by M A E = 1 n ∑ i = 1 n | f i − y i | = 1 n ∑ i = Retrieved from "https://en.wikipedia.org/w/index.php?title=Mean_percentage_error&oldid=723517980" Categories: Summary statistics Navigation menu Personal tools Not logged inTalkContributionsCreate accountLog in Namespaces Article Talk Variants Views Read Edit View history More Search Navigation Main pageContentsFeatured contentCurrent eventsRandom

## Mean Percentage Error

Text is available under the Creative Commons Attribution-ShareAlike License; additional terms may apply. her latest blog The difference between At and Ft is divided by the Actual value At again. Mean Absolute Percentage Error Excel This is known as a scale-dependent accuracy measure and therefore cannot be used to make comparisons between series using different scales.[1] The mean absolute error is a common measure of forecast Mean Absolute Error Formula This also is a known, computed quantity, and it varies by sample and by out-of-sample test space.

The approximation error is the gap between the curves, and it increases for x values further from 0. It was proposed in 2005 by statistician Rob J. Because actual rather than absolute values of the forecast errors are used in the formula, positive and negative forecast errors can offset each other; as a result the formula can be http://threadspodcast.com/mean-absolute/mean-absolute-percentage-of-error.html p. 16.

ISBN0-8247-0888-1. Weighted Mape Well-established alternatives are the mean absolute scaled error (MASE) and the mean squared error. Hyndman: Errors on Percentage Errors Retrieved from "https://en.wikipedia.org/w/index.php?title=Symmetric_mean_absolute_percentage_error&oldid=739280296" Categories: Statistical deviation and dispersionHidden categories: Articles lacking in-text citations from August 2011All articles lacking in-text citations Navigation menu Personal tools Not logged

## This is an easily computable quantity for a particular sample (and hence is sample-dependent).

www.otexts.org. Multiplying by 100 makes it a percentage error. Case studies in public budgeting and financial management. Mean Absolute Scaled Error By using this site, you agree to the Terms of Use and Privacy Policy.