Chapter 2: Model Life Cycle
Overview
The term model refers to a quantitative method, system, or approach that applies statistical, economic, financial, or mathematical theories, techniques, and assumptions to process input data into quantitative estimates.
A model consists of three components:
● an information input component, which delivers assumptions and data to the model
● a processing component, which transforms inputs into estimates
● a reporting component, which translates the estimates into useful business information
Model risk can result in financial and reputational loss. ...
Get Model Risk Management with SAS now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
