Econometrics meets sentiment : an overview of methodology and applications

The advent of massive amounts of textual, audio, and visual data has spurred the development of econometric methodology to transform qualitative sentiment data into quantitative sentiment variables, and to use those variables in an econometric analysis of the relationships between sentiment and other variables. We survey this emerging research field and refer to it as sentometrics, which is a portmanteau of sentiment and econometrics. We provide a synthesis of the relevant methodological approaches, illustrate with empirical results, and discuss useful software

Research and Education in Computational Science and Engineering

Over the past two decades the field of computational science and engineering (CSE) has penetrated both basic and applied research in academia, industry, and laboratories to advance discovery, optimize systems, support decision-makers, and educate the scientific and engineering workforce. Informed by centuries of theory and experiment, CSE performs computational experiments to answer questions that neither theory nor experiment alone is equipped to answer. CSE provides scientists and engineers of all persuasions with algorithmic inventions and software systems that transcend disciplines and scales. Carried on a wave of digital technology, CSE brings the power of parallelism to bear on troves of data. Mathematics-based advanced computing has become a prevalent means of discovery and innovation in essentially all areas of science, engineering, technology, and society; and the CSE community is at the core of this transformation. However, a combination of disruptive developments---including the architectural complexity of extreme-scale computing, the data revolution that engulfs the planet, and the specialization required to follow the applications to new frontiers---is redefining the scope and reach of the CSE endeavor. This report describes the rapid expansion of CSE and the challenges to sustaining its bold advances. The report also presents strategies and directions for CSE research and education for the next decade.Comment: Major revision, to appear in SIAM Revie

Machine Learning in Management Accounting Research : Literature Review and Pathways for the Future

This paper explores the possibilities of employing machine learning (ML) methods and new data sources in management accounting (MA) research. A review of current accounting and related research reveals that ML methods in MA are still in their infancy. However, a review of recently published ML research from related fields reveals several new opportunities to utilize ML in MA research. We suggest that the most promising areas to employ ML methods in MA research lie in (1) the exploitation of the rich potential of various textual data sources; (2) the quantification of qualitative and unstructured data to create new measures; (3) the creation of better estimates and predictions; and (4) the use of explainable AI to interpret ML models in detail. ML methods can play a crucial role in MA research by creating, developing, and refining theories through induction and abduction, as well as by providing tools for interventionist studies.© 2022 The Author(s). Published by Informa UK Limited, trading as Taylor & Francis Group This is an Open Access article distributed under the terms of the Creative Commons Attribution-NonCommercial-NoDerivatives License (http://creativecommons.org/licenses/by-nc-nd/4.0/), which permits non-commercial re-use, distribution, and reproduction in any medium, provided the original work is properly cited, and is not altered, transformed, or built upon in any way.fi=vertaisarvioitu|en=peerReviewed

Academic Performance and Behavioral Patterns

Identifying the factors that influence academic performance is an essential part of educational research. Previous studies have documented the importance of personality traits, class attendance, and social network structure. Because most of these analyses were based on a single behavioral aspect and/or small sample sizes, there is currently no quantification of the interplay of these factors. Here, we study the academic performance among a cohort of 538 undergraduate students forming a single, densely connected social network. Our work is based on data collected using smartphones, which the students used as their primary phones for two years. The availability of multi-channel data from a single population allows us to directly compare the explanatory power of individual and social characteristics. We find that the most informative indicators of performance are based on social ties and that network indicators result in better model performance than individual characteristics (including both personality and class attendance). We confirm earlier findings that class attendance is the most important predictor among individual characteristics. Finally, our results suggest the presence of strong homophily and/or peer effects among university students

Optimizing B2B Product Offers with Machine Learning, Mixed Logit, and Nonlinear Programming

In B2B markets, value-based pricing and selling has become an important alternative to discounting. This study outlines a modeling method that uses customer data (product offers made to each current or potential customer, features, discounts, and customer purchase decisions) to estimate a mixed logit choice model. The model is estimated via hierarchical Bayes and machine learning, delivering customer-level parameter estimates. Customer-level estimates are input into a nonlinear programming next-offer maximization problem to select optimal features and discount level for customer segments, where segments are based on loyalty and discount elasticity. The mixed logit model is integrated with economic theory (the random utility model), and it predicts both customer perceived value for and response to alternative future sales offers. The methodology can be implemented to support value-based pricing and selling efforts. Contributions to the literature include: (a) the use of customer-level parameter estimates from a mixed logit model, delivered via a hierarchical Bayes estimation procedure, to support value-based pricing decisions; (b) validation that mixed logit customer-level modeling can deliver strong predictive accuracy, not as high as random forest but comparing favorably; and (c) a nonlinear programming problem that uses customer-level mixed logit estimates to select optimal features and discounts

Operations Management

Global competition has caused fundamental changes in the competitive environment of the manufacturing and service industries. Firms should develop strategic objectives that, upon achievement, result in a competitive advantage in the market place. The forces of globalization on one hand and rapidly growing marketing opportunities overseas, especially in emerging economies on the other, have led to the expansion of operations on a global scale. The book aims to cover the main topics characterizing operations management including both strategic issues and practical applications. A global environmental business including both manufacturing and services is analyzed. The book contains original research and application chapters from different perspectives. It is enriched through the analyses of case studies