Financial Risk Early-warning Based on FDT-Fuzzy ID3 Algorithm
With the development of world economic globalization and integrating trends, international finance has been developed unprecedentedly in depth and breadth because of information technology, financial risks has become growing proliferation, more and more complex and diverse. In this case, to establish an effective early-warning financial security system becomes the academic focus. Due to fuzzy decision trees are powerful, top-down, hierarchical search methodology to extract human interpretable classification rules, they have become candidates for financial risk early-warning system. In this paper, Fuzzy ID3 algorithm is used, a popular and particularly efficient method, to construct fuzzy decision tree. We use weighted fuzzy production rules generated from fuzzy decision tree to establish early-warning system of financial risk. In addition, a new method is proposed, based on fuzzy rules and degree of confidence, to set the band of early-warning. Classification accuracy was used to examine results of the system. The results indicated that the system is very valid for financial risk.
Fuzzy decision tree Fuzzy ID3 algorithm Early-warning system Financial Risk
Jinjie Song Lianjie Dong Hongxia Jin
College of Business, Agricultural University of Hebei, Baoding, HeBei, China, 071001 College of Science, Agricultural University of Hebei, Baoding, HeBei, China, 071001
国际会议
第八届武汉电子商务国际会议(The Eighth Wuhan International Conference on E-Business)
武汉
英文
1101-1106
2009-05-30（万方平台首次上网日期，不代表论文的发表时间）