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A multi-objective approach for the prediction of loan defaults

Published: 07 July 2007 Publication History

Abstract

Credit institutions are seldom faced with problems dealing with single objectives. Often, decisions involving optimizing two or more competing goals simultaneously need to be made, and conventional optimization routines and models are incapable of handling the problems. This study applies Fuzzy dominance based Simplex Genetic Algorithm (a multi-objective evolutionary optimization algorithm) in generating decision rules for predicting loan default in a typical credit institution.

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cover image ACM Conferences
GECCO '07: Proceedings of the 9th annual conference on Genetic and evolutionary computation
July 2007
2313 pages
ISBN:9781595936974
DOI:10.1145/1276958
Permission to make digital or hard copies of all or part of this work for personal or classroom use is granted without fee provided that copies are not made or distributed for profit or commercial advantage and that copies bear this notice and the full citation on the first page. Copyrights for components of this work owned by others than ACM must be honored. Abstracting with credit is permitted. To copy otherwise, or republish, to post on servers or to redistribute to lists, requires prior specific permission and/or a fee. Request permissions from [email protected]

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Published: 07 July 2007

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Author Tags

  1. fuzzy inference
  2. loan default
  3. multi-objective optimization
  4. prediction

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GECCO '07 Paper Acceptance Rate 266 of 577 submissions, 46%;
Overall Acceptance Rate 1,669 of 4,410 submissions, 38%

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