Credit risk evaluation based on LINMAP

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Abstract

This paper deals with customer's credit risk assessment. We put forward a method based on the Linear Programming Technique for Multidimensional Analysis of Preference (LINMAP). The method is used to develop a credit risk assessment model using a large sample of firms derived from the loan portfolio of a leading Construction Bank of China. The model gave us the method to determine the optimal credit evaluation weights and ideal point. Further we give an example for its application. © Springer-Verlag Berlin Heidelberg 2006.

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Mou, T. Y., Zhou, Z. F., & Shi, Y. (2006). Credit risk evaluation based on LINMAP. In Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics) (Vol. 3994 LNCS-IV, pp. 452–459). Springer Verlag. https://doi.org/10.1007/11758549_64

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