A Connection Between GRBF and MLP

Both multilayer perceptrons (MLP) and Generalized Radial Basis Functions (GRBF) have good approximation properties, theoretically and experimentally. Are they related? The main point of this paper is to show that for normalized inputs, multilayer perceptron networks are radial function networks (albeit with a non-standard radial function). This provides an interpretation of the weights w as centers t of the radial function network, and therefore as equivalent to templates. This insight may be useful for practical applications, including better initialization procedures for MLP. In the remainder of the paper, we discuss the relation between the radial functions that correspond to the sigmoid for normalized inputs and well-behaved radial basis functions, such as the Gaussian. In particular, we observe that the radial function associated with the sigmoid is an activation function that is good approximation to Gaussian basis functions for a range of values of the bias parameter. The implication is that a MLP network can always simulate a Gaussian GRBF network (with the same number of units but less parameters); the converse is true only for certain values of the bias parameter. Numerical experiments indicate that this constraint is not always satisfied in practice by MLP networks trained with backpropagation. Multiscale GRBF networks, on the other hand, can approximate MLP networks with a similar number of parameters.

Building Grounded Abstractions for Artificial Intelligence Programming

Most Artificial Intelligence (AI) work can be characterized as either ``high-level'' (e.g., logical, symbolic) or ``low-level'' (e.g., connectionist networks, behavior-based robotics). Each approach suffers from particular drawbacks. High-level AI uses abstractions that often have no relation to the way real, biological brains work. Low-level AI, on the other hand, tends to lack the powerful abstractions that are needed to express complex structures and relationships. I have tried to combine the best features of both approaches, by building a set of programming abstractions defined in terms of simple, biologically plausible components. At the ``ground level'', I define a primitive, perceptron-like computational unit. I then show how more abstract computational units may be implemented in terms of the primitive units, and show the utility of the abstract units in sample networks. The new units make it possible to build networks using concepts such as long-term memories, short-term memories, and frames. As a demonstration of these abstractions, I have implemented a simulator for ``creatures'' controlled by a network of abstract units. The creatures exist in a simple 2D world, and exhibit behaviors such as catching mobile prey and sorting colored blocks into matching boxes. This program demonstrates that it is possible to build systems that can interact effectively with a dynamic physical environment, yet use symbolic representations to control aspects of their behavior.

Forecasting Global Temperature Variations by Neural Networks

Global temperature variations between 1861 and 1984 are forecast usingsregularization networks, multilayer perceptrons and linearsautoregression. The regularization network, optimized by stochasticsgradient descent associated with colored noise, gives the bestsforecasts. For all the models, prediction errors noticeably increasesafter 1965. These results are consistent with the hypothesis that thesclimate dynamics is characterized by low-dimensional chaos and thatsthe it may have changed at some point after 1965, which is alsosconsistent with the recent idea of climate change.s

Priors Stabilizers and Basis Functions: From Regularization to Radial, Tensor and Additive Splines

We had previously shown that regularization principles lead to approximation schemes, as Radial Basis Functions, which are equivalent to networks with one layer of hidden units, called Regularization Networks. In this paper we show that regularization networks encompass a much broader range of approximation schemes, including many of the popular general additive models, Breiman's hinge functions and some forms of Projection Pursuit Regression. In the probabilistic interpretation of regularization, the different classes of basis functions correspond to different classes of prior probabilities on the approximating function spaces, and therefore to different types of smoothness assumptions. In the final part of the paper, we also show a relation between activation functions of the Gaussian and sigmoidal type.

A Nonparametric Approach to Pricing and Hedging Derivative Securities via Learning Networks

We propose a nonparametric method for estimating derivative financial asset pricing formulae using learning networks. To demonstrate feasibility, we first simulate Black-Scholes option prices and show that learning networks can recover the Black-Scholes formula from a two-year training set of daily options prices, and that the resulting network formula can be used successfully to both price and delta-hedge options out-of-sample. For comparison, we estimate models using four popular methods: ordinary least squares, radial basis functions, multilayer perceptrons, and projection pursuit. To illustrate practical relevance, we also apply our approach to S&P 500 futures options data from 1987 to 1991.

Support Vector Machines: Training and Applications

The Support Vector Machine (SVM) is a new and very promising classification technique developed by Vapnik and his group at AT&T Bell Labs. This new learning algorithm can be seen as an alternative training technique for Polynomial, Radial Basis Function and Multi-Layer Perceptron classifiers. An interesting property of this approach is that it is an approximate implementation of the Structural Risk Minimization (SRM) induction principle. The derivation of Support Vector Machines, its relationship with SRM, and its geometrical insight, are discussed in this paper. Training a SVM is equivalent to solve a quadratic programming problem with linear and box constraints in a number of variables equal to the number of data points. When the number of data points exceeds few thousands the problem is very challenging, because the quadratic form is completely dense, so the memory needed to store the problem grows with the square of the number of data points. Therefore, training problems arising in some real applications with large data sets are impossible to load into memory, and cannot be solved using standard non-linear constrained optimization algorithms. We present a decomposition algorithm that can be used to train SVM's over large data sets. The main idea behind the decomposition is the iterative solution of sub-problems and the evaluation of, and also establish the stopping criteria for the algorithm. We present previous approaches, as well as results and important details of our implementation of the algorithm using a second-order variant of the Reduced Gradient Method as the solver of the sub-problems. As an application of SVM's, we present preliminary results we obtained applying SVM to the problem of detecting frontal human faces in real images.