Neural and wavelet network models for financial distress classification

This work analyzes the use of linear discriminant models, multi-layer perceptron neural networks and wavelet networks for corporate financial distress prediction. Although simple and easy to interpret, linear models require statistical assumptions that may be unrealistic. Neural networks are able to discriminate patterns that are not linearly separable, but the large number of parameters involved in a neural model often causes generalization problems. Wavelet networks are classification models that implement nonlinear discriminant surfaces as the superposition of dilated and translated versions of a single "mother wavelet" function. In this paper, an algorithm is proposed to select dilation and translation parameters that yield a wavelet network classifier with good parsimony characteristics. The models are compared in a case study involving failed and continuing British firms in the period 1997-2000. Problems associated with over-parameterized neural networks are illustrated and the Optimal Brain Damage pruning technique is employed to obtain a parsimonious neural model. The results, supported by a re-sampling study, show that both neural and wavelet networks may be a valid alternative to classical linear discriminant models.

Multi-layer radial basis function networks: an extension to the radial basis function

This paper presents the initial research carried out into a new neural network called the multilayer radial basis function network (MRBF). The network extends the radial basis function (RBF) in a similar way to that in which the multilayer perceptron extends the perceptron. It is hoped that by connecting RBFs together in a layered fashion, an equivalent increase in ability can be gained, as is gained from using MLPs instead of single perceptrons. The results of a practical comparison between individual RBFs and MRBF's are also given.

Multilayer perceptron neural networks training through charged system search and its Application for non-technical losses detection

The non-technical loss is not a problem with trivial solution or regional character and its minimization represents the guarantee of investments in product quality and maintenance of power systems, introduced by a competitive environment after the period of privatization in the national scene. In this paper, we show how to improve the training phase of a neural network-based classifier using a recently proposed meta-heuristic technique called Charged System Search, which is based on the interactions between electrically charged particles. The experiments were carried out in the context of non-technical loss in power distribution systems in a dataset obtained from a Brazilian electrical power company, and have demonstrated the robustness of the proposed technique against with several others nature-inspired optimization techniques for training neural networks. Thus, it is possible to improve some applications on Smart Grids. © 2013 IEEE.

O uso de rede neural artificial MLP na predição de estruturas secundárias de proteínas

Coordenação de Aperfeiçoamento de Pessoal de Nível Superior (CAPES)

Hierarchical multi-label classification using local neural networks

Hierarchical multi-label classification is a complex classification task where the classes involved in the problem are hierarchically structured and each example may simultaneously belong to more than one class in each hierarchical level. In this paper, we extend our previous works, where we investigated a new local-based classification method that incrementally trains a multi-layer perceptron for each level of the classification hierarchy. Predictions made by a neural network in a given level are used as inputs to the neural network responsible for the prediction in the next level. We compare the proposed method with one state-of-the-art decision-tree induction method and two decision-tree induction methods, using several hierarchical multi-label classification datasets. We perform a thorough experimental analysis, showing that our method obtains competitive results to a robust global method regarding both precision and recall evaluation measures.

Artificial neural network study of whole-cell bacterial bioreporter response determined using fluorescence flow cytometry.

Genetically engineered bioreporters are an excellent complement to traditional methods of chemical analysis. The application of fluorescence flow cytometry to detection of bioreporter response enables rapid and efficient characterization of bacterial bioreporter population response on a single-cell basis. In the present study, intrapopulation response variability was used to obtain higher analytical sensitivity and precision. We have analyzed flow cytometric data for an arsenic-sensitive bacterial bioreporter using an artificial neural network-based adaptive clustering approach (a single-layer perceptron model). Results for this approach are far superior to other methods that we have applied to this fluorescent bioreporter (e.g., the arsenic detection limit is 0.01 microM, substantially lower than for other detection methods/algorithms). The approach is highly efficient computationally and can be implemented on a real-time basis, thus having potential for future development of high-throughput screening applications.

Non-Linear Unsteady Aerodynamic Response Approximation Using Multi-Layer Functionals

Non-linear functional representation of the aerodynamic response provides a convenient mathematical model for motion-induced unsteady transonic aerodynamic loads response, that accounts for both complex non-linearities and time-history effects. A recent development, based on functional approximation theory, has established a novel functional form; namely, the multi-layer functional. For a large class of non-linear dynamic systems, such multi-layer functional representations can be realised via finite impulse response (FIR) neural networks. Identification of an appropriate FIR neural network model is facilitated by means of a supervised training process in which a limited sample of system input-output data sets is presented to the temporal neural network. The present work describes a procedure for the systematic identification of parameterised neural network models of motion-induced unsteady transonic aerodynamic loads response. The training process is based on a conventional genetic algorithm to optimise the network architecture, combined with a simplified random search algorithm to update weight and bias values. Application of the scheme to representative transonic aerodynamic loads response data for a bidimensional airfoil executing finite-amplitude motion in transonic flow is used to demonstrate the feasibility of the approach. The approach is shown to furnish a satisfactory generalisation property to different motion histories over a range of Mach numbers in the transonic regime.

A multi-level probabilistic neural network

Based on the idea of an important cluster, a new multi-level probabilistic neural network (MLPNN) is introduced. The MLPNN uses an incremental constructive approach, i.e. it grows level by level. The construction algorithm of the MLPNN is proposed such that the classification accuracy monotonically increases to ensure that the classification accuracy of the MLPNN is higher than or equal to that of the traditional PNN. Numerical examples are included to demonstrate the effectiveness of proposed new approach.

Artificial keys for botanical identification using a multilayer perceptron neural network (MLP)

In this paper, practical generation of identification keys for biological taxa using a multilayer perceptron neural network is described. Unlike conventional expert systems, this method does not require an expert for key generation, but is merely based on recordings of observed character states. Like a human taxonomist, its judgement is based on experience, and it is therefore capable of generalized identification of taxa. An initial study involving identification of three species of Iris with greater than 90% confidence is presented here. In addition, the horticulturally significant genus Lithops (Aizoaceae/Mesembryanthemaceae), popular with enthusiasts of succulent plants, is used as a more practical example, because of the difficulty of generation of a conventional key to species, and the existence of a relatively recent monograph. It is demonstrated that such an Artificial Neural Network Key (ANNKEY) can identify more than half (52.9%) of the species in this genus, after training with representative data, even though data for one character is completely missing.

Neural networks for linear control: an analysis

This paper considers the use of radial basis function and multi-layer perceptron networks for linear or linearizable, adaptive feedback control schemes in a discrete-time environment. A close look is taken at the model structure selected and the extent of the resulting parameterization. A comparison is made with standard, nonneural network algorithms, e.g. self-tuning control.

A critique of neural networks for discrete-time linear control

This paper discusses the use of multi-layer perceptron networks for linear or linearizable, adaptive feedback.control schemes in a discrete-time environment. A close look is taken at the model structure selected and the extent of the resulting parametrization. A comparison is made with standard, non-perceptron algorithms, e.g. self-tuning control, and it is shown how gross over-parametrization can occur in the neural network case. Because of the resultant heavy computational burden and poor controller convergence, a strong case is made against the use of neural networks for discrete-time linear control.

The automatic layout model in the sequencing of construction activities of multi-objective diaphragm wall unit by using self-learning neural network

Foundation construction process has been an important key point in a successful construction engineering. The frequency of using diaphragm wall construction method among many deep excavation construction methods in Taiwan is the highest in the world. The traditional view of managing diaphragm wall unit in the sequencing of construction activities is to establish each phase of the sequencing of construction activities by heuristics. However, it conflicts final phase of engineering construction with unit construction and effects planning construction time. In order to avoid this kind of situation, we use management of science in the study of diaphragm wall unit construction to formulate multi-objective combinational optimization problem. Because the characteristic (belong to NP-Complete problem) of problem mathematic model is multi-objective and combining explosive, it is advised that using the 2-type Self-Learning Neural Network (SLNN) to solve the N=12, 24, 36 of diaphragm wall unit in the sequencing of construction activities program problem. In order to compare the liability of the results, this study will use random researching method in comparison with the SLNN. It is found that the testing result of SLNN is superior to random researching method in whether solution-quality or Solving-efficiency.

An introduction to radial basis functions for system identification: a comparison with other neural network methods

A look is taken at the use of radial basis functions (RBFs), for nonlinear system identification. RBFs are firstly considered in detail themselves and are subsequently compared with a multi-layered perceptron (MLP), in terms of performance and usage.

The control of dynamical systems by neural networks

In this paper the use of neural networks for the control of dynamical systems is considered. Both identification and feedback control aspects are discussed as well as the types of system for which neural networks can provide a useful technique. Multi-layer Perceptron and Radial Basis function neural network types are looked at, with an emphasis on the latter. It is shown how basis function centre selection is a critical part of the implementation process and that multivariate clustering algorithms can be an extremely useful tool for finding centres.