Neuro-Fuzzy approach for the predictions of economic crisis

In this paper we present the neuro-fuzzy technology for the prediction of economic crisis of USA economy. Our findings support ANFIS models to traditional discrete choice models of Probit and Logit, indicating that the last models are not very useful for forecasting purposes. We have developed a MATLAB routine to show how ANFIS procedure works and it is provided for replications, further research applications and experiments, for modifications, expansions and improvements. We propose the use of both models, because with discrete choice models we can examine and investigate the effects of the inputs or the independent variables, while we can simultaneously use ANFIS for forecasting purposes. The wise option and the most appropriate scientific action is to combine both models and not taking only one of them.