Data Envelopment Analysis Approach to Two-Group Classification Problems and an Experimental Comparison with some Classification Models

DiscriminantAnalysisisamethodfordetermininggroupclassiflcations for a set of similar units or observations. A number of new e‐cient mathematical programming approaches have been developed as an alternativetoexaminingclassiflcationproblemsusingstatisticalmodels. Inthisstudytwonewmathematicalprogrammingapproachesaredevelopedfortheminimizationofthesumofthedeviationsandtheconcept of relative e‐ciency for Data Envelopment Analysis when solving the two group classiflcation problem. The e‐ciency and practicability of thesuggestedapproachesaresupportedwithasimulationstudyinvolving three difierent distributions and difierent cases for the units in the groups.

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