Transfer entropy

Transfer entropy is a non-parametric statistic measuring the amount of directed (time-asymmetric) transfer of information between two random processes. Transfer entropy from a process X to another process Y is the amount of uncertainty reduced in future values of Y by knowing the past values of X given past values of Y. More specifically, if and for denote two random processes and the amount of information is measured using Shannon's entropy, the transfer entropy can be written as:

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