Detrend

Detrend

To remove the general drift, tendency, or bent of a set of statistical data as related to time. Often accomplished by regressing a variable or a time index and perhaps the square of the time index and capturing the residuals. A stochastic detrend would be to subtract a moving-average (say for five years) from the value of the variable.

Detrend

The removal of a trend from the consideration of several variables. A detrend may be necessary to discover a company's true financial health. For example, one may detrend increased sales around Christmas time to see a more accurate account of a company's sales in a given year.
References in periodicals archive ?
The following are four methods that could be used to detrend these data: (1) Use a constant, as in Taylor (1993); (2) Use a linear trend; (3) Use an atheoretical filter, like the Hodrick-Prescott filter; (4) Use a model, as in Holston et al.
In this article, we detrend our time series data with the Hodrick-Prescott (HP) filter.
In order to improve the efficiency of the multivariate models, spectral pre-processing techniques based on smoothing (moving average), detrend, multiplicative scattering correction (MSC) and standard normal variate (SNV) can be applied.
The wavelet-based method can detrend the records with polynomial trend because of the property of vanishing moments of wavelet, can avoid the spurious result caused by trend, and is suitable for water level records.
To detrend our data, we first attempted to fit a negative exponential curve to the individual series raw data.
Three methods are considered for comparison: RIAA, LS, and a detrend LS (termed DLS), which uses an additional detrend function (developed in LSPR) before regular LS periodogram estimation is applied.
In contrast, failing to detrend a series that contains a trend typically leads to a loss of consistency and an incorrect asymptotic size.
Aforementioned studies often add a linear time trend to an AR(2) to detrend the data.
Thus, in order to avoid problems of spurious regression, we decided to detrend the time series of unemployment rates before using it in the VAR estimations.
So, both polynomials of various orders and linear functions were tested in a detrend procedure.
The essence of his methodology is to detrend the original series with an allowance for a structural break and to conduct tests for unit roots in the detrended series.
En toda la region realizamos trabajos de capacitacion entre nuestros socios y continuaremos haciendolo", senalo Alexis Garberis, director de SMB deTrend Micro Latinoamerica.