Beyond correlation: measuring interdependence through complementarities

Given two sets of random variables, how can one determine whether the former variables are more interdependent than the latter? This question is of major importance to economists, for example, in comparing how various policies affect systemic risk or income inequality. Moreover, correlation is ill-s...

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Bibliographic Details
Main Authors: Meyer, M, Strulovici, B
Format: Working paper
Published: University of Oxford 2013