Ooghe, Hubert; Spaenjers, Christophe - In: Applied Economics Letters 17 (2010) 1, pp. 67-70
This note briefly describes three performance measures that can be used in business failure prediction models: the unweighted error rate (UER), D-max and the Gini-coefficient. The use of these measures (and the mathematical relationship between them) is illustrated with numerical examples. We...