Welcome to the tag category page for Statistical significance!
Economic significance refers to the importance or meaningfulness of a statistic or finding in the real world, as opposed to just being statistically significant. It is often used in corporate finance and econometrics, with measures being scaled by the standard deviation of the dependent variable. The significance level, expressed as a p-value, determines the likelihood of results being due purely to chance. In terms of regression, economic significance means a coefficient has a substantive effect. Overall, economic significance emphasizes the practical implications and relevance of statistical findings.
