As recently stated by EUROSTAT, Small and Medium Enterprises (SMEs) play a crucial role in the economy of European Union (EU). This is particularly true for Italy that has one of the largest share of SMEs in the Euro zone. In such a context, the assessment of the Italian firms creditworthiness is a priority, especially in the early stage of a SMEs life. The aim of this work is to explore the effectiveness of the Feedforward Neural Network for Italian firms defaults prediction in comparison with standard linear models (Logistic and Probit). Our analysis considers the Italian manufacturing SMEs in a short time span (2016-2017). Results, obtained via two different sampling strategies, are not clear-cut.
Crosato, L., Liberati, C., Repetto, M. (2021). Linear models vs Neural Network: predicting Italian SMEs default.. In Book of short papers - SIS 2021 (pp.590-595). Pearson.
Linear models vs Neural Network: predicting Italian SMEs default.
Liberati, CSecondo
;Repetto MUltimo
2021
Abstract
As recently stated by EUROSTAT, Small and Medium Enterprises (SMEs) play a crucial role in the economy of European Union (EU). This is particularly true for Italy that has one of the largest share of SMEs in the Euro zone. In such a context, the assessment of the Italian firms creditworthiness is a priority, especially in the early stage of a SMEs life. The aim of this work is to explore the effectiveness of the Feedforward Neural Network for Italian firms defaults prediction in comparison with standard linear models (Logistic and Probit). Our analysis considers the Italian manufacturing SMEs in a short time span (2016-2017). Results, obtained via two different sampling strategies, are not clear-cut.
I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
