Category selection and classification based on correspondence coordinates

Hajdu, Ottó (2002) Category selection and classification based on correspondence coordinates. Hungarian Statistical Review, 80 (SN7). pp. 103-126. ISSN 0039-0690

Preview

Text 2002_K7_103.pdf Download (523kB) | Preview

Abstract

The paper presents the description and an application of the explorative multivariate technique known as multiple correspondence analysis of an indicator matrix. Correspondence coordinates have been used to reveal relevant categories of economic organizations in connection with their financial bankruptcy. Illustrative calculations are based on data from balance sheets of Hungarian enterprises. The aim of the paper is twofold. On the one hand, it seeks correspondences among categories of the variables investigated. On the other hand, based on the relevant categories it discriminates the two groups of active and bankrupt firms and classifies an additional supplementary category of firms to one of them. This third category is the group of those who are still currently active but already affected by bankruptcy proceedings. Finally, an individual firm is also predicted. To clarify the meaning of the correspondence coordinates a detailed explanation of their theory is provided.

Actions (login required)

Edit Item