The Neural Network and the Click-Through

As the market for neural network software has become more and more competitive, I’ve been intrigued to watch the proliferation of applications for this breed of statistical analysis.  In a week that has produced news of neural networks put to use to diagnose epilepsy, pick stocks, protect children from internet pornography, and predict wind power […]

Fed Uses Monte Carlo Simulation for Stress Test

The U.S. Federal Reserve recently released the results of a comprehensive assessment of the financial conditions of the nation’s 19 largest banks, which hold two-thirds of American economic assets. This “stress test” was designed to determine the capital buffers required for the banks to withstand losses and maintain lending even in worsening economic conditions. Officially […]