Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
388403 | Expert Systems with Applications | 2008 | 6 Pages |
Abstract
Credit scoring models often use linear or logistic regression to investigate the relation between observed characteristics and credit ratings. The basic relation is, however, a form of Bayes’ theorem. This paper proposes a model in which estimation techniques from hidden Markov models are adapted to evaluate the parameters of a risk profile. The risk being estimated might be financial, as in credit scoring, or alternatively whether an observed member of a population might represent some terrorist threat.
Keywords
Related Topics
Physical Sciences and Engineering
Computer Science
Artificial Intelligence
Authors
Robert J. Elliott, Alexei Filinkov,