Determinants of Long-term Economic Development: An Empirical Cross-country Study Involving Rough Sets Theory and Rule Induction

Empirical findings on determinants of long-term economic growth are numerous, sometimes inconsistent, highly exciting and still incomplete. The empirical analysis was almost exclusively carried out by standard econometrics. This study compares results gained by cross-country regressions as reported in the literature with those gained by the rough sets theory and rule induction. The main advantages of using rough sets are being able to classify classes and to discretize. Thus, we do not have to deal with distributional, independence, (log-)linearity, and many other assumptions, but can keep the data as they are. The main difference between regression results and rough sets is that most education and human capital indicators can be labeled as robust attributes. In addition, we find that political indicators enter in a non-linear fashion with respect to growth.Economic growth, Rough sets, Rule induction

Discretisation of conditions in decision rules induced for continuous

Typically discretisation procedures are implemented as a part of initial pre-processing of data, before knowledge mining is employed. It means that conclusions and observations are based on reduced data, as usually by discretisation some information is discarded. The paper presents a different approach, with taking advantage of discretisation executed after data mining. In the described study firstly decision rules were induced from real-valued features. Secondly, data sets were discretised. Using categories found for attributes, in the third step conditions included in inferred rules were translated into discrete domain. The properties and performance of rule classifiers were tested in the domain of stylometric analysis of texts, where writing styles were defined through quantitative attributes of continuous nature. The performed experiments show that the proposed processing leads to sets of rules with significantly reduced sizes while maintaining quality of predictions, and allows to test many data discretisation methods at the acceptable computational costs

Extracting Business Intelligence from Online Product Reviews: An Experiment of Automatic Rule-Induction

Online product reviews are a major source of business intelligence (BI) that helps managers and market researchers make important decisions on product development and promotion. However, the large volume of online product review data creates significant information overload problems, making it difficult to analyze users’ concerns. In this paper, we employ a design science paradigm to develop a new framework for designing BI systems that correlate the textual content and the numerical ratings of online product reviews. Based on the framework, we developed a prototype for extracting the relationship between the user ratings and their textual comments posted on Amazon.com’s Web site. Two data mining algorithms were implemented to extract automatically decision rules that guide the understanding of the relationship. We report on experimental results of using the prototype to extract rules from online reviews of three products and discuss the managerial implications

Determinants of Long-term Economic Development: An Empirical Cross-country Study Involving Rough Sets Theory and Rule Induction

Empirical findings on determinants of long-term economic growth are numerous, sometimes inconsistent, highly exciting and still incomplete. The empirical analysis was almost exclusively carried out by standard econometrics. This study compares results gained by cross-country regressions as reported in the literature with those gained by the rough sets theory and rule induction. The main advantages of using rough sets are being able to classify classes and to discretize. Thus, we do not have to deal with distributional, independence, (log) linearity, and many other assumptions, but can keep the data as they are. The main difference between regression results and rough sets is that most education and human capital indicators can be labeled as robust attributes. In addition, we find that political indicators enter in a nonlinear fashion with respect to growth