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Related Concept Videos

Prediction Intervals01:03

Prediction Intervals

2.5K
The interval estimate of any variable is known as the prediction interval. It helps decide if a point estimate is dependable.
However, the point estimate is most likely not the exact value of the population parameter, but close to it. After calculating point estimates, we construct interval estimates, called confidence intervals or prediction intervals. This prediction interval comprises a range of values unlike the point estimate and is a better predictor of the observed sample value, y. 
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Econometric Views (EViews)01:29

Econometric Views (EViews)

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Econometric Views, often stylized as EViews, is a package that merges statistical analysis with econometric studies. It is designed to provide tools for time series analysis, forecasting, and econometric model simulation. The software originated from MicroTSP software and has evolved significantly since its inception in 1981. The history of EViews is marked by a continuous effort to enhance its computational speed and user interface. It was initially developed for large computing systems but...
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Hypothesis: Accept or Fail to Reject?01:17

Hypothesis: Accept or Fail to Reject?

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The outcome of any hypothesis testing leads to rejecting or not rejecting the null hypothesis. This decision is taken based on the analysis of the data, an appropriate test statistic, an appropriate confidence level, the critical values, and P-values. However, when the evidence suggests that the null hypothesis cannot be rejected, is it right to say, 'Accept' the null hypothesis?
There are two ways to indicate that the null hypothesis is not rejected. 'Accept' the null...
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Related Experiment Videos

A hypothesis-driven responsible AI framework for interpretable ESG forecasting with RuleFit.

Tufail Muhammad1, Rubab Hafeez1, Waqas Bin Khidmat2

  • 1Department of Computer Science, Air University Aerospace and Aviation Campus, Kamra, Pakistan.

Scientific Reports
|April 28, 2026
PubMed
Summary
This summary is machine-generated.

This study introduces a framework using Responsible AI (RAI) and rule extraction to predict Environmental, Social, and Governance (ESG) scores. It ensures ethical and accurate ESG forecasting for sustainable finance decisions.

Keywords:
Corporate governanceEnsemble learningResponsible AIRuleFit

Related Experiment Videos

Area of Science:

  • * Business Analytics
  • * Artificial Intelligence
  • * Corporate Social Responsibility

Background:

  • * Responsible AI (RAI) is integral to corporate social responsibility and business governance.
  • * Predicting Environmental, Social, and Governance (ESG) scores is crucial for sustainable finance.
  • * Existing methods may lack interpretability and ethical alignment in ESG forecasting.

Purpose of the Study:

  • * To develop a framework integrating RAI principles with hypothesis-driven rule extraction for ESG score prediction.
  • * To enhance the interpretability and ethical alignment of ESG outcome forecasts.
  • * To facilitate reliable decision-making in sustainable finance and corporate governance.

Main Methods:

  • * Employed the ensemble-based RuleFit algorithm for hypothesis-driven rule extraction.
  • * Associated firm-level attributes (size, leverage, digitization, ownership) with decision rules.
  • * Validated rules using nonparametric tests and assessed subgroup fairness for equity.

Main Results:

  • * Generated interpretable decision rules linking firm attributes to ESG outcomes.
  • * Achieved statistically sound and ethically aligned ESG score predictions.
  • * Demonstrated the robustness of the methodology under non-normal distributions.

Conclusions:

  • * Rule-based learning offers a powerful approach for interpretable and ethical ESG forecasting.
  • * The proposed framework supports data-driven, responsible decision-making in corporate governance.
  • * This research bridges AI, ESG, and sustainable finance through a novel methodology.