error term
Definition
A term used to describe the margin of error which exists in a statistical or mathematical model. An error term is created when a model does not precisely depict the relationship between different types of variables. Actual results will vary from that depicted in the model due to outside factors. Also called residual or remainder term.
Related Articles
- Water Cooler Advice vs. A Financial Planner... No contest *
- Places to Buy a Car Other than Dealers *
- Different Types of Financial Advisors *
- Credit Fraud and How to Protect Yourself *
- An Explanation of Credit Cards and Related Issues *
- An Explanation of REITs *
- Utilizing Grants and Scholarships to Pay for School *
- Fees and Expenses *
Related Videos
http://www.businessdictionary.com/definition/error-term.html
