An Empirical Investigation of Efficiency Measurement in Financial and Economic Time Series Data

AKINTUNDE M. O; AMUSAN, A.S; MASOPA, N.A; ADESIYAN, A.A1

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Publication Date: 2021/10/13

Abstract: This paper investigates the efficiency measurement in financial and Economic data. Efficiency measurement has contributed significantly to the reduction in the volume of error encountered in the dayto-day human endeavour. The most unfortunate thing is that little or no attention is directed towards the publications addressing this problem. This paper therefore serves as a gap filling study aimed at addressing the problem arising in the direction of efficiency measures. The data employed in the study is Nigerian Crude oil data (2009-2018) analyzed through the use of Econometric View software (E-view). The efficiency measures indices used are Mean Absolute Error (MAE), Root Mean Square Error RMSE , Mean Absolute Deviation (MAD), Mean Absolute Precision Error (MAPE) and THEIL U inequality. From the results the performance measures indices that produced the most efficient measurement is THEIL U inequality and its components, Mean Absolute Error (MAE) and Root Mean Square Error (RMSE) in that order.

Keywords: Efficiency, MAE, RMSE, MAD, RMSE and MAPE.

DOI: No DOI Available

PDF: https://ijirst.demo4.arinfotech.co/assets/upload/files/IJISRT21SEP677.pdf

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