MODELING OF TELECOMMUNICATION REVENUE AS A PERCENTAGE OF GROSS DOMESTIC PRODUCT’S FOR COUNTRIES WITH FRACTIONAL CALCULUS

Abstract

This study explores the modeling of the share of telecommunication revenues in gross domestic product from the year 2000 to 2018 for 5 countries including France, Germany, Italy, Turkey, the UK, and the OECD average. First, a new mathematical model based on Fractional Calculus and Least Square Method is proposed. Later, the telecommunication revenues in GDP dataset is modeled. Further, we compare the new Fractional approach to the classical Polynomial approach in three different settings. The results show that employing Fractional Calculus yields better modeling performance when compared to the classical Polynomial Approach in terms of Mean Absolute Percentage Error (MAPE). The Fractional approach outperforms the Polynomial approach by 0.1329 % MAPE on average. The largest MAPE is found for Turkey while the smallest MAPE is obtained for Italy in all settings.