Shannon Entropy Approach Research Articles

An MCDA composite index of bank stability using CAMELS ratios and shannon entropy

AbstractThis study uses the multi-criteria decision-analysis (MCDA) approach to construct a composite performance index (CPI) directly from the CAMELS financial ratios. The CPI has several promising characteristics, such as (i) being an absolute measure of performance that allows for adding or removing data without affecting the existing scores; (ii) employing CAMELS ratios directly in its calculation without the need for normalization or imputation of positive values; (iii) employing the dynamic weighting system of data envelopment analysis (DEA); (iv) providing more robust insights on the Vietnamese banking system under the Shannon entropy approach; and (v) can be an alternative measure of bank stability, compared to the CAMELS ratings and z-scores. Based on a rich dataset of 45 Vietnamese banks spanning from 2002 to 2020, our findings suggest that the proposed CPI could offer an overall view consistent with other approaches for measuring banking sector performance and stability and identifying specific strengths and weaknesses of banks.

Degree Descriptors and Graph Entropy Quantities of Zeolite ACO.

Cheminformatics is a fascinating emerging subfield of chemical graph theory that studies quantitative structure-activity and property relationships of molecules and, in turn, uses these to predict the physical and chemical properties, which are extremely useful in drug discovery and optimization. Knowledge discovery can be put to use in pharmaceutical data matching to help in finding promising lead compounds. Topological descriptors are numerical quantities corresponding to the chemical structures that are used in the study of these phenomena. This paper is concerned with developing the generalized analytical expression of topological descriptors for zeolite ACO structures with underlying degree and degree-sum parameters. To demonstrate improved discrimination power between the topological descriptors, we have further modified Shannon's entropy approach and used it to calculate the entropy measures of zeolite ACO structures.

Study on the sentimental influence on Indian stock price

The rapidly increasing scientific research on the stock market and the visible impact of media on equity prices are nowadays in limelight. To a greater extent, causal analysis can reckon the sentimental effect of the broadcasted content on stock valuation. We propose a four stage model to detect the direction of information flow between the news sentiment and stock price. Whilst web scraping explores and extracts the news datasets, the modified VADER algorithm finds the sentiments of the aired media. The associational causal analysis determines the cause effect between the news and stock price. The results suggest that the non parametric Shannon and Renyi's entropy approach supersedes the Granger test, a parametric study which is constrained to Gaussian time series with linear causation. Since Renyi's Entropy can perfectly identify the deluge of information during quick leaps, it is regarded as a beneficial formulation for investors when evaluating stocks with a fewer number of news mentions. The impact of news during the COVID-19 pandemic over the pharmaceutical sector was also done. The study infers an explicit information flow and direction of causality between news sentiment and stock price movement, which can be used to devise future investment and consumption strategies.

Metaheuristic based single and multiobjective optimization of thermoelectric generator

Analytical optimization methods are not applicable for some complex practical problems that lead to explore the numerical/metaheuristic optimization methods. Thermoelectric devices are also complex systems and need metaheuristic methods for their performance optimization. This paper analyses various metaheuristic techniques for performance optimization of thermoelectric generator (TEG). Single and multiobjective optimizations of TEG have been performed to optimize its power output and efficiency. The hot and cold side temperatures, load resistance, length of semiconductor legs, and fill factor of the TEG are used as performance parameters. Single-objective optimization is performed using 13-metaheuristic algorithms and their results are compared in terms of solution optimality and computational time acceptability. It has been observed that the cuckoo search (CS) algorithm is the most suitable in terms of accuracy and speed. CS produced the optimum power output and efficiency of 19.20837 W and 2.4427 % respectively in minimum time. The multiobjective optimization is also performed for simultaneous optimization of the power output and efficiency. Shannon entropy approach is found to be the best technique to determine optimal point on the Pareto front for multiobjective optimization. The optimal values of decision variables, Th Tc, RL, L and FF for multiobjective optimization are found to be 321.195 K, 281.195 K, 0.14250 Ω, 0.5 mm and 0.9 respectively and it produced optimum power output and efficiency of 19.20837 W and 2.25932 % respectively. The statistical and box plot analysis have also been carried out for all the algorithms. The determination of the most suitable algorithm for the faster performance optimization of the TEG, hereby provides the pathways to ascertain the most accurate solution for the power output and efficiency obtainable from the TEG system and hence, delivering the ability to decide the right parameters for the construction of the TEG system with the best performance.

GIS-based landslide susceptibility mapping of Western Rwanda: an integrated artificial neural network, frequency ratio, and Shannon entropy approach

GIS-based landslide susceptibility mapping of Western Rwanda: an integrated artificial neural network, frequency ratio, and Shannon entropy approach

Exploring the utility of the entropy method for classifying household livelihood vulnerability and adaptation strategies to salinity intrusion Impact - empirical evidence in coastal communities of the Vietnamese Mekong delta

This study evaluates how vulnerable and adaptable the coastal communities of the Vietnamese Mekong delta (VMD) are to the effects of saltwater intrusion on their livelihoods. A multi-disciplinary approach is used, including the entropy method, field surveys, and GIS combined with interviews with local officials, coastal communities. For analyzing household vulnerability for 457 households in twelve selected communes in Soc Trang province, VMD, we applied the Livelihood Vulnerable index (LVI) and LVI-IPCC indices, and the weight of key components was determined using Shannon's entropy approach. Both are salinity intrusion-focused and the subcomponents of the LVI and LVI-IPCC were similar; nevertheless, they are each conceptually constructed differently, resulting in distinct final value outputs. The results produced from LVI revealed that Lich Hoi Thuong had the highest vulnerability index (0.608), followed by Tran De (0.443) and Dai An 2 (0.435), having moderate vulnerability, whereas the Phu Huu (0.389), Tan Hung (0.341), Long Phu (0.337), Long Duc (0.322), Truong Khanh (0.318), Chau Khanh (0.277), Dai Ngai (0.260), Hau Thanh (0.244) and Lieu Tu (0.224) communes were classified as having low vulnerability. In terms of the results of LVI-IPCC, Lieu Tu (−0.013) is the most vulnerable. Our analysis underlines that, while some communes are vulnerable to saline intrusion, the sensitivity can be mitigated by their adaptive ability. This study has detailed the picture of livelihood vulnerability in Soc Trang, providing valuable information for the decision-makers to understand the context in study areas and then suggest effective strategies to adapt to salinity intrusion.

Estimation of diffusion time with the Shannon entropy approach.

The present work revisits and improves the Shannon entropy approach when applied to the estimation of an instability timescale for chaotic diffusion in multidimensional Hamiltonian systems. This formulation has already been proved efficient in deriving the diffusion timescale in 4D symplectic maps and planetary systems, when the diffusion proceeds along the chaotic layers of the resonance's web. Herein the technique is used to estimate the diffusion rate in the Arnold model, i.e., of the motion along the homoclinic tangle of the so-called guiding resonance for several values of the perturbation parameter such that the overlap of resonances is almost negligible. Thus differently from the previous studies, the focus is fixed on deriving a local timescale related to the speed of an Arnold diffusion-like process. The comparison of the current estimates with determinations of the diffusion time obtained by straightforward numerical integration of the equationsof motion reveals a quite good agreement.

A decision support framework for socially responsible supplier selection in the Nigerian banking industry

Purpose Sustainability trends have changed the modus operandi in businesses even as the market environment becomes more socially conscious. However, relatively little research has been conducted on integrating social sustainability aspects with a focus on corporate social responsibility (CSR) into the selection of suppliers in the service sector, particularly the banking industry. In this paper, this study aims to propose a CSR decision support methodology to evaluate and prioritize socially responsible suppliers. Design/methodology/approach A novel integrated decision support methodology composed of Shannon Entropy and TOmada de Decisão Interativa e Multicritério (TODIM) methods is introduced. The Shannon-Entropy approach is used to estimate CSR factor weights, and TODIM is used to rank the suppliers, with the process completed in a group decision setting. Findings A Nigerian bank was used as a case study to test and show the usefulness of the CSR-based decision framework in evaluating and selecting socially responsible suppliers. The results show the topmost ranked suppliers that are recommended for future negotiations by the case (bank). The study will enable banks to select socially responsible suppliers, which could accelerate the attainment of sustainability objectives, protect their reputations and improve competitiveness. Originality/value This study pioneers the application of a novel decision methodology based on Shannon Entropy and TODIM in selecting socially sustainable suppliers in the Banking sector of an African emerging economy-Nigeria.

An integrated group entropy-weighted interval type-2 fuzzy weighted aggregated sum product assessment (WASPAS) method in maritime transportation

This study aims to provide an integrated decision-making approach in maritime transportation problems. The duty of hatch cover is to prevent the ingress of water into the cargo hold and protect the goods from being damped and damaged. Hence, it has the considerable role in productivity of maritime transportation systems. Since each hatch cover has distinguished properties with respect to criteria than the others, the hatch cover selection problem (HCSP) can be considered as a multi-criteria decision-making (MCDM) problem. In this paper, interval type-2 fuzzy sets (IT2FSs) are first used to weight criteria and evaluations of hatch covers with respect to criteria. In addition, an integrated group Shannon entropy- based weighted aggregated sum product assessment (WASPAS) approach is applied to solve the HCSP using the limit distance mean (LDM) in which the interval type-2 fuzzy Shannon entropy approach is used to determine the objective weights and then they are integrated with the subjective weights. On the other hand, in order to demonstrate the effectiveness and practicability of the proposed method, it is fulfilled in a real case study and the ranked results are compared with the others.

Chaotic diffusion in the GJ 876 exoplanetary system

AbstractThis is a study about the dynamical stability of the GJ 876 exoplanetary system. The phase space of initial conditions (ICs) is characterized using the MEGNO indicator of chaos and the Shannon entropy approach for estimations of diffusivity. The results are compared to analyze correlations between the chaotic layers and the instability timescales. The long-term dynamical behavior of the system is reminiscent of the stable chaos, at least within the system’s lifetime.

Four-Objective Optimization of an Irreversible Magnetohydrodynamic Cycle

Based on the existing model of an irreversible magnetohydrodynamic cycle, this paper uses finite time thermodynamic theory and multi-objective genetic algorithm (NSGA-II), introduces heat exchanger thermal conductance distribution and isentropic temperature ratio of working fluid as optimization variables, and takes power output, efficiency, ecological function, and power density as objective functions to carry out multi-objective optimization with different objective function combinations, and contrast optimization results with three decision-making approaches of LINMAP, TOPSIS, and Shannon Entropy. The results indicate that in the condition of constant gas velocity, deviation indexes are 0.1764 acquired by LINMAP and TOPSIS approaches when four-objective optimization is performed, which is less than that (0.1940) of the Shannon Entropy approach and those (0.3560, 0.7693, 0.2599, 0.1940) for four single-objective optimizations of maximum power output, efficiency, ecological function, and power density, respectively. In the condition of constant Mach number, deviation indexes are 0.1767 acquired by LINMAP and TOPSIS when four-objective optimization is performed, which is less than that (0.1950) of the Shannon Entropy approach and those (0.3600, 0.7630, 0.2637, 0.1949) for four single-objective optimizations, respectively. This indicates that the multi-objective optimization result is preferable to any single-objective optimization result.

Evaluation and Ranking of E-Government Websites Using Weighted-Combinative Distance-Based Assessment Approach

Electronic government (e-government) now becomes a necessity rather than an option for the countries that aim for improved governance. Indeed, existing agencies of government make a powerful connection with customers through e-government to deliver better, cheaper, and faster services. In the present research, a multi-criteria decision-making (MCDM) approach, namely weighted-combinative distance-based assessment (W-CODAS), is proposed which is a combination of Shannon entropy approach and CODAS and implemented to rank the e-government websites of eight countries by selecting 15 evaluation criteria. Further, the results obtained from W-CODAS method are compared with well-known methods AHP and TOPSIS and validated by Kendall's tau correlation test. The results of the present research based on W-CODAS show that the e-government website of Finland is placed at the top position (Rank 1) followed by UK. Similarly, the Netherlands website occupies last position and is ranked at number eight.

Efficient power analysis and five-objective optimization for a simple endoreversible closed Brayton cycle

Based on a simple endoreversible closed Brayton cycle model established in the previous literature, this paper performs thermodynamic analyses and multi-objective optimizations by applying finite-time thermodynamics and NSGA-II. Cycle efficient power expression of the cycle is derived and analyzed. Heat exchanger heat conductance distribution and cycle pressure ratio are used as optimization variables, and cycle power output, ecological function, thermal efficiency, power density and efficient power are taken as optimization goals. The results obtained with LINMAP, TOPSIS and Shannon Entropy decision-making methods used in five-objective optimization are compared with those of five single-objective optimizations. The results show that efficiency at the maximum efficient power is higher than that at the maximum power; there are an optimal values of heat conductance distribution and pressure ratio make efficient power reaches the maximum; in the five-objective optimization, deviation indices with LINMAP, TOPSIS and Shannon Entropy decision-making methods are 0.2443, 0.2443 and 0.2400, respectively, deviation index with Shannon Entropy approach is the smallest, and the result is closer to ideal scheme; while the deviation indices for five single-objective optimizations with power, efficiency, ecological function, power density and efficient power are 0.4111, 0.6750, 0.2651, 0.2443 and 0.2400, respectively.

Input/Output Variables Selection in Data Envelopment Analysis: A Shannon Entropy Approach

The purpose of this study is to provide an efficient method for the selection of input–output indicators in the data envelopment analysis (DEA) approach, in order to improve the discriminatory power of the DEA method in the evaluation process and performance analysis of homogeneous decision-making units (DMUs) in the presence of negative values and data. For this purpose, the Shannon entropy technique is used as one of the most important methods for determining the weight of indicators. Moreover, due to the presence of negative data in some indicators, the range directional measure (RDM) model is used as the basic model of the research. Finally, to demonstrate the applicability of the proposed approach, the food and beverage industry has been selected from the Tehran stock exchange (TSE) as a case study, and data related to 15 stocks have been extracted from this industry. The numerical and experimental results indicate the efficacy of the hybrid data envelopment analysis–Shannon entropy (DEASE) approach to evaluate stocks under negative data. Furthermore, the discriminatory power of the proposed DEASE approach is greater than that of a classical DEA model.

Decision Support System for Optimal Selection of Software Reliability Growth Models Using a Hybrid Approach

A hybrid approach, namely “entropy-combinative distance-Based assessment (CODAS-E),” is proposed and presented to select and rank software reliability growth models based on multiple performance indexes, which is hitherto not applied in the open literature for the purpose. In the proposed hybrid approach, i.e., CODAS-E, the Shannon entropy approach is used to obtain the performance indexes’ priority weights and the CODAS method is used for optimum selection and ranking. The methodology is illustrated through two previously published different failure datasets. The ranking results depict that “Zhang-Teng-Pham” is the least suited model for software reliability estimation, whereas “Musa Okumoto” and “Yamada Imperfect debugging2” are best suitable for dataset-1 and dataset-2, respectively. The CODAS-E method is validated comparing with existing multicriteria decision-making methods; namely, technique for order preference by similarity to ideal solution and analytic hierarchy process. The significant contributions of the present research article include implementation of efficient, user-friendly, and time effective CODAS-E methodology to find the optimal model and the best overall ranking of employed models for any given dataset, and importance to the taxonomy of NHPP SRGMs rather than adding any new model. The presented model selection strategy will undoubtedly lead to high-quality software development.

Industrial robot selection using a multiple criteria group decision making method with individual preferences.

This paper proposes a multiple criteria group decision making with individual preferences (MCGDM-IP) to address the robot selection problem (RSP). Four objective criteria elicitation approaches, namely, Shannon entropy approach, CRITIC approach, distance-based approach, and ideal-point approach, are proposed to indicate individual decision makers. A preliminary group decision matrix is therefore formulated. Both preferential differences representing the preference degrees among different robots, and preferential priorities representing the favorite ranking of robots for each individual decision maker, are analyzed to propose a revised group decision matrix. A satisfaction index is developed to manifest the merits of the proposed MCGDM-IP. An illustrative example using the data drawn from previous literature is conducted to indicate the effectiveness and validity of MCGDM-IP. The results demonstrate that the MCGDM-IP could generate a more satisfactory scheme to evaluate and select industrial robots, with an improvement of group satisfactory level as 2.12%.

Newcomers' Priorities in Portfolio Selection: A Shannon Entropy Approach

Having a good stock portfolio, which is one of the most important factors in making money in the stock market, requires the correct choice of criteria. This issue for new stock traders in the Tehran Stock Exchange (TSE) who do more than 50 per cent of daily transactions in this market, due to their lack of sufficient experience, seems thoroughly essential. As a result, newcomers who were trading in the Tehran Stock Exchange in 2020 have been invited to participate in this study. After identifying the most influential variables in portfolio-selection via Delphi Method, these factors have been ranked based on Shannon’s Entropy Approach. The results show that Familiarity, Net Profit Ratio and Stock Price are respectively the main priorities of new entrants in choosing the stock portfolio. Besides, risk-related variables have generally the least importance in stock portfolio selection from the perspective of new entrants.

Instability times in the HD 181433 exoplanetary system

The present work consists of a study of the dynamical stability of a three-body system that takes advantage of the Shannon entropy approach to estimate the diffusivity (DS) in a Delaunay’s action-like phase space. We outline the main features of a numerical computation ofDSfrom the solutions of the equations of motion and, thereupon, we consider how to estimate a macroscopic instability timescale,τinst, (roughly speaking, the lifetime of the system) associated with a given set of initial conditions. Through such estimates, we are able to characterize the system’s space of initial conditions in terms of its orbital stability by applying numerical integrations to the construction of dynamical maps. We compare these measures of chaotic diffusion with other indicators, first in a qualitative fashion and then more quantitatively, by means of long direct integrations. We address an analysis of a particular, near-resonant system, namely HD 181433, and we show that the entropy may provide a complementary analysis with regard to other dynamical indicators. This work is part of a series of studies devoted to presenting the Shannon entropy approach and its possibilities as a numerical tool providing information on chaotic diffusion and the dynamical stability of multidimensional dynamical systems.

On eccentricity-based entropy measures for dendrimers

The eccentricity-based entropy inspired by Shannon's entropy approach is the information-theoretic quantity to figure out the structural information of complex networks. The investigation for advance biomedical utilization of dendrimers has improved the synthesis of radical based molecules. Categorically, attaining radical dendrimers has initiated their use in different fields such as anti-tumor agents and as magnetic resonance imaging. The use of radical dendrimers has increased the possibility of establishing new kinds of devices based on para-magnetic axioms of organic radicals. In this article, we discussed dendrimer based on cyclotriphosphazene (N3P3) which has balanced edge groups and these are examined by EPR temperature spectrum. Firstly, we computed eccentricity-based indices and then we computed eccentricity based entropies by developing an acquaintance between these indices and their entropies. Moreover we presented our computed result numerically and graphically which leads to good importance of our contribution.

Shannon entropy diffusion estimates: sensitivity on the parameters of the method

In the present effort, we revisit the Shannon entropy approach for the study of both the extent and the rate of diffusion in a given dynamical system. In particular, we provide a theoretical and numerical study of the dependence of the formulation on the parameters of the method. We succeed in deriving not only a diffusion coefficient, $$D_{S}$$ , but also an estimate of the macroscopical instability time for the system under study. Dealing with a toy model, namely a 4D symplectic application that represents the dynamics around a junction of resonances of different order, and an a particular case of the planar three-body problem, the HD20003 planetary system, we obtain numerical evidence that $$D_{S}$$ is a robust measure of the diffusion rate, no significant dependence on the free parameter of the entropy formulation (the size of the elements of the partition) being observed. Moreover, successful results concerning the estimation of macroscopical instability times obtained from $$D_{S}$$ are presented in both cases.