Picture of mobile phone running fintech app

Fintech: Open Access research exploring new frontiers in financial technology

Strathprints makes available Open Access scholarly outputs by the Department of Accounting & Finance at Strathclyde. Particular research specialisms include financial risk management and investment strategies.

The Department also hosts the Centre for Financial Regulation and Innovation (CeFRI), demonstrating research expertise in fintech and capital markets. It also aims to provide a strategic link between academia, policy-makers, regulators and other financial industry participants.

Explore all Strathclyde Open Access research...

A matrix regression model for the transition probabilities in a finite state stochastic-process

Robertson, C. (1990) A matrix regression model for the transition probabilities in a finite state stochastic-process. Journal of Applied Statistics, 39 (1). pp. 1-19. ISSN 0266-4763

Full text not available in this repository. Request a copy from the Strathclyde author

Abstract

In psychology, the free-recall experiment is used to investigate the organization of items in memory. A model is introduced to describe the ordinal features of the responses to this experiment. This is essentially a model of the transition probabilities in a finite state stochastic process in discrete time. A matrix regression model is introduced to investigate the effects on various factors on organization. Simulation techniques are used to assess the goodness of fit of the model and to test hypothesis about the model parameters. Finally components of the log-likelihood are used as diagnostic tools to check that there are no outliers. An example involving the recall of personalities' names is considered.