Kernel Methods for Pattern Analysis

needed for nonadditive and more complex models. Chapter 2 describes five additional examples that provide the foundation for more detailed explanations in later chapters. The chapter also includes some of properties of sensitivity analysis and expands on the various settings in which sensitivity analysis is applicable. Chapter 3 presents the examples in greater detail by showing some practical problems in which sensitivity analysis has demonstrated usefulness. The chapter includes a variance estimation problem, the method of Morris, Monte Carlo filtering, and estimation/calibration problems. Chapter 4 concerns the identification of a subset of the most important factors when working with a complex model involving numerous input factors. Chapter 5 presents methods that illustrate the approach of variance decomposition relative to the output factor. Both orthogonal and nonorthogonal sets of input factors are discussed. Chapter 6 presents methods suitable for sensitivity analysis of diagnostic models. A Monte Carlo approach termed “regionalized sensitivity analysis” is presented in detail, and Bayesian methods and global sensitivity analysis are covered. Chapter 7 illustrates use of the SIMLAB software (the authors’ software, available for free download at through the authors’ webpage) to implement many of the methods described in the text. There are step-by-step instructions that explain how to use SIMLAB to analyze the investor’s portfolio example in Chapter 1. The last chapter is a short but entertaining presentation of the importance of sensitivity analysis in model validation that includes some quotations on the role of sensitivity analysis to confirm numerical based scientific findings. I found this to be an interesting and informative book; however, some of the technical material seemed overly complicated and lacking sufficient explanation. I was left with the impression that to fully grasp some of the more complex aspects of sensitivity analysis, additional references are needed to supplement this text. Perhaps that is part of the authors’ purpose, to whet the appetite for more information. If so, they have succeeded.