Graphical descriptions of model outputs

Monte Carlo simulation graphical outputs have the advantage over statistical outputs of providing a quick, intuitive way to understand the model's results without needing a great deal of statistical knowledge.

In this section, we discuss:

Histogram and density plots –  to get the best visual understanding of the output

Cumulative distribution plots – to read off probabilities

Overlaying histogram and cumulative plots  -  to compare output distributions

Time series summary plots – to show summary effect of a time series model

Scatter plots – to show correlation relationships

Tornado charts – crude but quick sensitivity analysis plots

Risk-return plots – to compare different decision options by benefit and cost

Spider plots – advanced sensitivity analysis plots