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The effect of sample size on the grey system model
Authors:Lifeng Wu  Sifeng Liu  Ligen Yao  Shuli Yan
Institution:1. College of Economics and Management, Nanjing University of Aeronautics and Astronautics, Nanjing 210016, China;2. School of Economics and Management, Hebei University of Engineering, Handan 056038, China
Abstract:Some forecasting models have been developed, each has its own application condition. The grey model is used for small sample forecasting, but until now there is no reasonable explanation for the reason why it is not used for large sample. Therefore, in this paper, matrix perturbation theory is employed to explain the reason. The results of practical numerical examples from previous works demonstrate that the small sample usually has more accuracy than the large sample when establishing grey model in theory. Furthermore, we used the grey model with small samples to analyse the trend of syphilis incidence in China.
Keywords:Grey system  Chinese energy consumption  Electricity consumption per capita  Logistics demand  Syphilis incidence  Small sample forecasting
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