{"about":{"site":"https://codewithpapers.app","non_affiliation":"Code with Papers and Syntology are not affiliated with, endorsed by, or sponsored by Papers with Code, Meta, or the pwc-archive mirror.","licence":"CC BY-SA 4.0","licence_url":"https://creativecommons.org/licenses/by-sa/4.0/legalcode","attribution":"https://codewithpapers.app/attribution","modified":"archive material modified by Syntology; see the attribution page"},"url":"/paper/adaptive-discrete-smoothing-for-high","title":"Adaptive Discrete Smoothing for High-Dimensional and Nonlinear Panel Data","arxiv_id":"1912.12867","date":"2019-12-30","proceeding":null,"authors":["Xi Chen","Ye Luo","Martin Spindler"],"abstract":"In this paper we develop a data-driven smoothing technique for high-dimensional and non-linear panel data models. We allow for individual specific (non-linear) functions and estimation with econometric or machine learning methods by using weighted observations from other individuals. The weights are determined by a data-driven way and depend on the similarity between the corresponding functions and are measured based on initial estimates. The key feature of such a procedure is that it clusters individuals based on the distance / similarity between them, estimated in a first stage. Our estimation method can be combined with various statistical estimation procedures, in particular modern machine learning methods which are in particular fruitful in the high-dimensional case and with complex, heterogeneous data. The approach can be interpreted as a \\textquotedblleft soft-clustering\\textquotedblright\\ in comparison to traditional\\textquotedblleft\\ hard clustering\\textquotedblright that assigns each individual to exactly one group. We conduct a simulation study which shows that the prediction can be greatly improved by using our estimator. Finally, we analyze a big data set from didichuxing.com, a leading company in transportation industry, to analyze and predict the gap between supply and demand based on a large set of covariates. Our estimator clearly performs much better in out-of-sample prediction compared to existing linear panel data estimators.","url_abs":"https://arxiv.org/abs/1912.12867v2","url_pdf":"https://arxiv.org/pdf/1912.12867v2.pdf","source":{"archive":"pwc-archive (Hugging Face), CC BY-SA 4.0","snapshot":"2025-07-28","licence_url":"https://creativecommons.org/licenses/by-sa/4.0/legalcode","row_kind":"abstracts"},"code_links":[{"paper_slug":"adaptive-discrete-smoothing-for-high","repo_url":"https://github.com/SvenKlaassen/AdaptiveDiscreteSmoothing","is_official":0,"mentioned_in_paper":0,"mentioned_in_github":1,"framework":"none","reach":null}],"tasks":[{"task_slug":"machine-learning","task_name":"BIG-bench Machine Learning"},{"task_slug":"clustering","task_name":"Clustering"},{"task_slug":"high","task_name":"Vocal Bursts Intensity Prediction"}],"methods":[],"datasets_introduced":[],"methods_introduced":[],"results":[],"syntology":{"atlas_url":null,"mcp":null,"developers":"https://syntology.ai/developers"},"arxiv_metadata":null,"syntology_extracted_results":null}