Mixture cure models were originally proposed in medical statistics to model long-term survival of cancer patients in terms of two distinct subpopulations – those that are cured of the event of interest and will never relapse, along with those that are uncured and are susceptible to the event....

One of the key decisions financial institutions have to make as part of their daily operations is to decide whether or not to grant a loan to an applicant. With the emergence of large-scale data-storing facilities, huge amounts of data have been stored regarding the repayment behavior of past...

Start-ups are crucial in the modern economy as they provide dynamism and growth. Research on the performance of new ventures increasingly investigates initial resources as determinants of success. Initial resources are said to be important because they imprint the firm at start-up, limit its...

An important objective of data mining is the development of predictive models. Based on a number of observations, a model is constructed that allows the analysts to provide classifications or predictions for new observations. Currently, most research focuses on improving the accuracy or...

Decision trees are a widely used knowledge representation in machine learning. However, one of their main drawbacks is the inherent replication of isomorphic subtrees, as a result of which the produced classifiers might become too large to be comprehensible by the human experts that have to...

Stress-testing has become an important topic in retail lending since the introduction of the new Basel II guidelines. Here we use a scenario-based forecasting approach developed explicitly for retail lending in order to provide a suitable stress-testing approach. We first decompose the...