Best's Ratings, Financial Ratios and Prior Probabilities in Insolvency Prediction
研究将贝斯特评级作为虚拟变量纳入判别分析，比较其与财务变量在预测财产责任保险公司破产中的效果，并引入两阶段判别技术以提升预测准确性。
Denenberg [7] hypothesized that Best's financial ratings provided an accurate estimate of those insurers that would not become insolvent. Several researchers, most notably Pinches and Trieschmann, sought to quantify those predictions through the use of multivariate discriminant analysis. The authors of this paper incorporate Best's ratings into the discriminant analysis through a system of dummy variates. Best's ratings are then compared to the results obtained by the use of financial variables. Finally, a two-stage discriminant technique is introduced and its results are shown to be better for predicting insolvency for property-liability firms.