Abstract
The Theory of Projection Pursuit Regression is applied in the equipment indemnificatory valuation and forecast to establish the projection pursuit regression model. After fitting the training samples, this model strikes a good balance between the valuation value and its relevant influential factors, demonstrating a good fitting effect with the average relative error of only 2.1522% . After predicting the test samples, it shows a good forecast effect with the relative error of only-0.4069%, thus providing basis for equipment indemnificatory valuation and forecast.
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