On April 6, 2026, the second session of the Joint Program for Virtual Mobility «Econometrics» took place. The program is the result of a partnership between Sumy State University and Mahatma Jotiba Phule Rohilkhand University (MJPRU, Bareilly, India).
🔍 This time, the session was dedicated to the topic “Principal component analysis and factor analysis in Stata.”
👩🏫 The keynote speaker was Iryna Pozovna, Ph.D. in Economics and Senior Lecturer at the Department of Economic Cybernetics at Sumy State University.
🧩 During the lecture, the logic behind methods for reducing data dimensionality and identifying factors influencing economic processes was explained in detail. Iryna Viktorivna demonstrated a step-by-step algorithm for implementing PCA and factor analysis in the Stata environment, paying particular attention to:
- criteria for selecting principal components;
- methods for rotating factors to better interpret results;
- visualization of the resulting models.
Through practical examples, participants saw how these methods can be used to transform a large number of correlated indicators into a few meaningful factors, which significantly simplifies further modeling and managerial decision-making.
✨ Thank you to all participants for your active involvement, insightful questions, and expert contributions. Let’s continue to strengthen international academic ties and deepen our knowledge of econometrics!
