Do an econometric analysis of data in the card game Blackjack. Examine the theories, run a regression, identify the problem, find theory on problem, what econometric results have been done, then take your own approach. You can include charts, graphs, specify the variables, and for (linear, etc.). Before running a regression, we need a theory. It can be done in the following way:
1 – Estimate regression equation (9 independent variables between 0 and 1 to describe a shoe distribution)
2 – The get the house edge calculator, giving the exact player advantage for each of those shoe distributions (infinite decks, for example).
3 – Then create a 10-level "counting model" and least-square fit the 10 values to the exact player advantages.
4 – After the fit, I will compare my model with the well-established single level and multi-level counting systems.
5 – Do a write-up on the findings.