Improved Grey Forecasting Model for Taiwans Green Accounting

Abstract:

This paper applies the grey forecasting model to forecast the green accounting of Taiwan from 2002 to 2010. Green accounting is an effective economic indicator of human environmental and natural resources protection. Generally, Green accounting is a type of accounting that attempts to factor environmental costs into the financial results of operations. This paper modifies the original GM(1,1) model to improve prediction accuracy in green accounting and also provide a value reference for government in drafting relevant economic and environmental policies. Empirical study shows that the mean absolute percentage error of RGM(1,1) model is 2.05% lower than GM(1,1) and AGM(1,1), respectively. Results are very encouraging as the RGM(1,1) forecasting model clearly enhances the prediction accuracy.

• Periodical: Applied Mechanics and Materials (Volume 404)
• Pages: 398-403
• DOI: https://doi.org/10.4028/www.scientific.net/AMM.404.398
• Online since: September 2013
• Authors: Ching I Lin, Shin Li Lu, Shih Hung Tai
• Keywords: Forecasting, Gray Theory, Green Accounting

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