• The Journal of the Korea Contents Association
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• v.18 no.8
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• pp.525-535
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• 2018

If the frequency of a particular class is excessively higher than the frequency of other classes in the classification problem, data imbalance problems occur, which make machine learning distorted. Corporate bankruptcy prediction often suffers from data imbalance problems since the ratio of insolvent companies is generally very low, whereas the ratio of solvent companies is very high. To mitigate these problems, it is required to apply a proper sampling technique. Until now, oversampling techniques which adjust the class distribution of a data set by sampling minor class with replacement have popularly been used. However, they are a risk of overfitting. Under this background, this study proposes ROSE(Random Over Sampling Examples) technique which is proposed by Menardi and Torelli in 2014 for the effective corporate bankruptcy prediction. The ROSE technique creates new learning samples by synthesizing the samples for learning, so it leads to better prediction accuracy of the classifiers while avoiding the risk of overfitting. Specifically, our study proposes to combine the ROSE method with SVM(support vector machine), which is known as the best binary classifier. We applied the proposed method to a real-world bankruptcy prediction case of a Korean major bank, and compared its performance with other sampling techniques. Experimental results showed that ROSE contributed to the improvement of the prediction accuracy of SVM in bankruptcy prediction compared to other techniques, with statistical significance. These results shed a light on the fact that ROSE can be a good alternative for resolving data imbalance problems of the prediction problems in social science area other than bankruptcy prediction.

• The Journal of Bigdata
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• v.3 no.2
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• pp.71-78
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• 2018

The study is based on machine learning techniques to increase the accuracy of the forest fire predictive model. It used 14 years of data from 2003 to 2016 in Gang-won-do where forest fire were the most frequent. To reduce weather data errors, Gang-won-do was divided into nine areas and weather data from each region was used. However, dividing the forest fire forecast model into nine zones would make a large difference between the date of occurrence and the date of not occurring. Imbalance issues can degrade model performance. To address this, several sampling methods were applied. To increase the accuracy of the model, five indices in the Canadian Frost Fire Weather Index (FWI) were used as derived variable. The modeling method used statistical methods for logistic regression and machine learning methods for random forest and xgboost. The selection criteria for each zone's final model were set in consideration of accuracy, sensitivity and specificity, and the prediction of the nine zones resulted in 80 of the 104 fires that occurred, and 7426 of the 9758 non-fires. Overall accuracy was 76.1%.

• Journal of Korea Multimedia Society
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• v.13 no.5
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• pp.722-729
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• 2010

Prediction problems are widely used in medical domains. For example, computer aided diagnosis or prognosis is a key component in a CDSS (Clinical Decision Support System). SVMs with nonlinear kernels like RBF kernels, have shown superior accuracy in prediction problems. However, they are not preferred by physicians for medical prediction problems because nonlinear SVMs are difficult to visualize, thus it is hard to provide intuitive interpretation of prediction results to physicians. Nomogram was proposed to visualize SVM classification models. However, it cannot visualize nonlinear SVM models. Localized Radial Basis Function (LRBF) was proposed which shows comparable accuracy as the RBF kernel while the LRBF kernel is easier to interpret since it can be linearly decomposed. This paper presents a new tool named VRIFA, which integrates the nomogram and LRBF kernel to provide users with an interactive visualization of nonlinear SVM models, VRIFA visualizes the internal structure of nonlinear SVM models showing the effect of each feature, the magnitude of the effect, and the change at the prediction output. VRIFA also performs nomogram-based feature selection while training a model in order to remove noise or redundant features and improve the prediction accuracy. The area under the ROC curve (AUC) can be used to evaluate the prediction result when the data set is highly imbalanced. The tool can be used by biomedical researchers for computer-aided diagnosis and risk factor analysis for diseases.