Title :
Sensitivity of Decision Tree Algorithm to Class-Imbalanced Bank Credit Risk Early Warning
Author :
Jie Lang ; Jie Sun
Author_Institution :
Sch. of Econ. & Manage., Zhejiang Normal Univ., Jinhua, China
Abstract :
With the development of the banking system, bank credit risk early warning problem has been getting more attention. This paper, applied the decision tree algorithm to study the problem of bank credit risk early warning from a new angle of class imbalance. The empirical results show that decision tree algorithm has strong sensitivity to imbalanced data when it is used for bank credit risk warning modeling.
Keywords :
banking; credit transactions; decision trees; bank credit risk warning modeling; banking system; class-imbalanced bank credit risk early warning; decision tree algorithm sensitivity; Companies; Data models; Decision trees; Mathematical model; Measurement; Testing; Training;
Conference_Titel :
Computational Sciences and Optimization (CSO), 2014 Seventh International Joint Conference on
Conference_Location :
Beijing
Print_ISBN :
978-1-4799-5371-4
DOI :
10.1109/CSO.2014.153