Tag: hierarchicalmodeling

A Visual Introduction to Hierarchical Models, by Michael Freeman

Hierarchical models I have covered before on this blog. These models are super relevant in practice. For instance, in HR, employee data is always nested within teams which are in turn nested within organizational units. Also in my current field of insurances, claims are always nested within policies, which can in turn be nested within product categories. Data is hierachical, and we need to take that into account when we model it.

Hierarchical models do just that. Interested in how they do this? Have a look at this amazing browser application made in React.js!

http://mfviz.com/hierarchical-models

This project was built by Michael Freeman, a faculty member at the University of Washington Information School.

All code for this project is on GitHub, including the script to create the data and run regressions (done inR). Feel free to issue a pull request for improvements, and if you like it, share it on Twitter. Layout inspired by Tony Chu.

About this project
Hierarchical Linear Models 101

Hierarchical Linear Models 101

Multilevel models (also known as hierarchical linear models, nested data models, mixed models, random coefficient, random-effects models, random parameter models, or split-plot designs) are statistical models of parameters that vary at more than one level (Wikipedia). They are very useful in Social Sciences, where we are often interested in individuals that reside in nations, organizations, teams, or other higher-level units. Next to their individuals characteristics, the characteristics of these units they belong to may also have effects. To take into account effects from variables residing at multiple levels, we can use multilevel or hierarchical models.

Michael Freeman, a faculty member at the University of Washington Information School. made this amazing visual introduction to hierarchical modeling:

hlm

If you want to practice hierarchical modeling in R, I recommend the lesson by Page Paccini (first video) or the more elaborate video series by Statistics of DOOM (second):