aabse {termstrc} | R Documentation |
Calculation of the average absolute mean error (AABSE). The AABSE may also be called mean absolute error (MAE).
aabse(actual, estimated)
actual |
vector, consisting of the observed values. |
estimated |
vector, consisting of the estimated values. |
Calculation of the AABSE according to the formula:
mbox{AABSE}=frac{1}{m}|bm{ε}|bm{iota},
whereas bm{ε} is the vector of the yield or price errors of the bonds and bm{iota} is a column vector filled with ones. m is the number of bonds, for which bm{ε} has been calculated.