Article Per Year (5 Year)
p-Index From 2020 - 2025
0.23
P-Index
This Author published in this journals
All Journal IAES International Journal of Artificial Intelligence (IJ-AI)
María Jesús Segovia Vargas
Universidad Complutense de Madrid
Computer Science & IT Engineering

Published : 1 Documents Claim Missing Document
Claim Missing Document
Check
Articles

Found 1 Documents
Search

 1 
Estimating probability of banking crises using random forest Sri Hartini; Zuherman Rustam; Glori Stephani Saragih; María Jesús Segovia Vargas
IAES International Journal of Artificial Intelligence (IJ-AI) Vol 10, No 2: June 2021
Publisher : Institute of Advanced Engineering and Science

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.11591/ijai.v10.i2.pp407-413

Abstract

Banks have a crucial role in the financial system. When many banks suffer from the crisis, it can lead to financial instability. According to the impact of the crises, the banking crisis can be divided into two categories, namely systemic and non-systemic crisis. When systemic crises happen, it may cause even stable banks bankrupt. Hence, this paper proposed a random forest for estimating the probability of banking crises as prevention action. Random forest is well-known as a robust technique both in classification and regression, which is far from the intervention of outliers and overfitting. The experiments were then constructed using the financial crisis database, containing a sample of 79 countries in the period 1981-1999 (annual data). This dataset has 521 samples consisting of 164 crisis samples and 357 non-crisis cases. From the experiments, it was concluded that utilizing 90 percent of training data would deliver 0.98 accuracy, 0.92 sensitivity, 1.00 precision, and 0.96 F1-Score as the highest score than other percentages of training data. These results are also better than state-of-the-art methods used in the same dataset. Therefore, the proposed method is shown promising results to predict the probability of banking crises.
Co-Authors Glori Stephani Saragih Sri Hartini Zuherman Rustam