American Journal of Business Management, Economics and Banking ISSN (E): 2832-8078 Volume 13, | June, 2023 P a g e | 74 www.americanjournal.org USING ARTIFICIAL NEURAL NETWORKS AND MULTIPLE LOGISTIC REGRESSION ANALYSIS TO STUDY SOME FACTORS RESULTING LEUKEMIA Hayder Sami Alwan College of Administration and Economics / University of Maysan-Iraq haydersami.a87@uomisan.edu.iq A B S T R A C T K E Y W O R D S This study investigated some factors which lead to leukemia using, artificial neural networks (ANN) and multiple logistic regression analysis. The study also compared between these methods determine which method is better. The study included 150 observations and four variables: Chronic myeloid leukemia (CML) as a response variable, patient weight, blood platelets (PLT), and the bone marrow edema (EME) as explanatory variables. The model's goodness of fit was measured using the maximum likelihood ratio test, which followed a chi-square distribution. Results showed that the relationship between the explanatory variables and response variables is significant, indicating the importance of the explanatory variables in the model. The logistic regression model (LRM)'s parameters were estimated using the maximum likelihood ratio, and the neural network method was also used to analyze the data. The neural network method achieved a much higher accuracy rate than the multiple logistic regression method, with a difference of 20%, indicating the superiority of the neural network method over the multiple logistic regression method. Analysis, artificial neural networks, cancer, factors, Leukemia, multiple logistic regression, Wald , MLE. Introduction: In recent years, there has been an increase in the use of modern statistical methods and applications for analyzing classified data, particularly in fields such as medical, agricultural, and social research (Al- Obeidi, 2013). This study discusses the use of two different statistical methods in analysis: artificial neural networks, which are an important product of artificial intelligence and simulate natural intelligence, specifically human intelligence. These two methods are known for their ability to interpret incomplete or noisy data, handle new types of problems, process data in parallel, and high flexibility compared to traditional mathematical methods. Additionally, neural networks have surpassed the limitations of traditional solutions because all cells within the network process a huge amount of data quickly at the same time (Davalo & Naim, 1991). Logistic regression analysis (LRA), the second method, is an important statistical method that deals with analyzing classified data, especially in cases American Journal of Business Management, Economics and Banking Volume 13 June, 2023 P a g e | 75 www.americanjournal.org where the response variable is nominal or ordinal and consists of two levels (two classifications) or more (Al-Afifi, 2010; Maiprasert & Kitbumrungrat, 2012). The analysis using logistic regression does not assume any conditions regarding the distribution of explanatory variables, making it relatively better and more robust than many other methods. It is characterized by flexibility and simplicity, as well as giving a clear and meaningful interpretation and implications for describing the relationship between the response variable and explanatory variables. Research Objective The current research aims is to study some factors which lead to leukemia using a multiple logistic regression (MLR) model and an intelligent method represented by artificial neural networks (ANN), and to compare between them. Research Problem Regression models in general, and binary and multiple response logistic regression models in particular, are characterized by their high ability to model causal relationships between explanatory variables on the one hand and the dependent variable on the other hand. However, they suffer from some assumptions that, if not met, will lead to misleading results. Therefore, more flexible methods with fewer assumptions compared to traditional regression models are used to avoid such problems. Literature Review Artificial neural networks (ANN) The relationship between statistics and ANN has received significant and increasing attention from researchers and practitioners in both fields in recent years. Many ideas related to ANN are based on the fundamentals of statistics, and many statistical methods and techniques can be programmed using neural networks and building algorithms for them. The reason for this is due to the great similarity and congruence between the methods used in both fields (Jarrah, 2003). The general principle of building ANN is to develop a system for information processing to reach the closest point to human efficiency (Omar, 1999). Therefore, an ANN is a computer system for information processing, consisting of a very large number of interconnected processing elements with a dynamic nature. Its main function is the parallel division of network calculations. The neural network consists of a number of interconnected and homogeneous processing units, each of which is a computational tool that can model its behavior with simple mathematical equations (Rao & Raao, 1993). Neural networks are named after their resemblance to the internal communication systems of biological neurons, as these units are inspired by the study of biological neural systems , Figure 1 (Newbold, 1974). Figure 1. System of artificial neural networks American Journal of Business Management, Economics and Banking Volume 13 June, 2023 P a g e | 76 www.americanjournal.org 1- Components of an artificial neuron Zurada (1997) listed the following components: 1. Synapses: The neuron receives input signals from other connected cells through input channels, and these incoming signals are called inputs and are denoted by (xi, i = 1, 2, 3, 4, ..., n). 2. Summation function: The function of this function is to unify the input signals into one signal. 3. Activation function: This function aims to propagate the input value according to the type of function used according to the scale of the output value limits . 4. Axon path's: The function of this channel is to send the output signal to other neurons, and it is considered an input signal to those cells, and the output signal is called outputs. 1. 2 Types of artificial neural networks 1-2-1 Feedforward neural networks These networks allow information to flow in only one direction, meaning that the data spreads from the back to the front (i.e., from the input layer to the output layer) because their structure lacks closed loops of connections between the layers (Stergiou & Siganos, 2006). 1-2-2 Backpropagation neural networks (NNN) Backpropagation networks allow information to flow in both directions, and they are complex and powerful. They are dynamic networks that continuously change their stability until reaching a point of equilibrium, and they remain there until the input changes and a new equilibrium needs to be found (Stergiou & Siganos, 2006). BNN is based on the concept of training the network using the mean square error, by finding the minimum value of the total error square for the output values computed by the network. The weights between the layers are updated until the optimal weights that provide the best fit for the model are achieved (Al-Nasser & Al-Obaidi, 2003). The key to an ANN model is the structure of the information processing system that connects and organizes a large number of internally connected processing elements (neurons) that work together to solve specific problems. Signals pass between nodes (neurons) through connecting lines, and each line is associated with a certain weight. The incoming signals to the node (neuron) are multiplied by these weights, and the weighted inputs are summed up in the nodes or neurons. Then, the outputs of each node are processed by a non-linear function with a specific threshold called the activation function (Stergiou & Siganos, 2006). 1-3 Activation function It is also known as conversion functions because it converts input values by mixing them with weights from one mathematical formula to another. It also has several forms, including linear and nonlinear, and is characterized by its ability to determine the type of relationship between inputs and outputs and forms of activation functions (Wasserman, 1989; Zurada, 1960). 1- Linear activation function a=f(n)=n…….(1) The derivative of this function is in this form f ̅(n)=1………(2) American Journal of Business Management, Economics and Banking Volume 13 June, 2023 P a g e | 77 www.americanjournal.org 2- Logistics activation function This function is often used at the hidden layer of neural networks since the input values are basically real values (-∞, +∞) while the output values of the function for each node of the network are (0,1) and are according to the following formula: f(n)=(1 + e −n Q )−1……..(3) This function can be derivated in this form f̅(n)=(f(n)(1-f(n)/Q……..(4) 3-The step activation function This function is used in classification models, and its outputs depend entirely on the inputs. The output of the function equals (1) if the input is greater than or equal to (0), otherwise, the output equals (0). This function differs from the previous two functions in that it has no derivative. It can be expressed as: a=f(n)=n…….(5) a={0,n<0 1,n≥0 4-Threshold activation function The threshold activation function is similar to the step function, as it has no derivative. The output values equal (+1) if the inputs are greater than or equal to (0), and (-1) if the inputs are less than (0). It can be expressed as: a=f(n)……(6) a={−1,n<0 1,n≥0 5- Bipolar Sigmoid activation function This function is commonly used in feature estimation. The input values range from (-∞ to +∞), while the output values range from (-1 to +1). It can be expressed as: f(n)=tanh(n/Q)=1-2/(1+e^(2n))......(7) The derivative of the function is given by:f(̅n )= 1−[f(n)]2 Q …….(8) 1-4 Backpropagation Algorithm python The backward backpropagation is one of the most important supervised training algorithms for neural networks. Its name comes from the fact that the error is propagated backward through the network from layer to layer. This algorithm relies on choosing a suitable error function, which is determined by the actual and desired output values, as well as the network's features such as weights and thresholds (Arabic Encyclopedia for Computer and the Internet, 2004) Al-Sheikhly (2003) states that training an ANN using backpropagation involves three stages, as follows: 1. Forward propagation of error. 2. Backward propagation of error. 3. Weight tuning. American Journal of Business Management, Economics and Banking Volume 13 June, 2023 P a g e | 78 www.americanjournal.org During the forward propagation stage, the input signal is transmitted to each node in the hidden layer, and the activation value for each node in the hidden layer is calculated based on this signal. Then, these nodes send their signals to each node in the output layer, and the activation value for each node in the output layer is calculated to form the network's response to the given input sample. During the training stage, each node in the output layer compares its calculated activation with the actual output value to determine the error value for that node. Based on this error value, the error correction factor δk is calculated. The error correction factor δk is used to distribute the error among the nodes in the output layer and is then sent back to each node in the previous layer. This factor is also used to update the weights in the output and hidden layers. Similarly, the error correction factor δj is calculated for each node in the hidden layer, and this factor is used to update the weights in the hidden and output layers. After determining all the error correction factors δ, the weights for all layers are adjusted simultaneously. The algorithm or methodology for this network can be summarized in the following steps: 1. Generate initial weight values from a statistical distribution. 2. Each node in the input layer receives input signals and sends them to all nodes in the hidden layer. 3. Each node in the hidden layer aggregates weighted input signals according to the equation: hj = 2 / (1 + exp (- xiwij)) – 1 ……… (9) 4. Applying the activation function to estimate the outputs of the hidden layer, and sending the activation values to all nodes in the output layer. 5. Each node in the output layer aggregates weighted input signals according to the equation: )10(…………1 –)) ikwih j = 2 / (1 + exp ( ky 6. Calculating the error for each output node by finding the difference between the activation value y_k and the target value t_k, as follows: )11( ……… ky – k= t kE The output of the neural network is compared with the real values to estimate the error according to the equation: )12( ……..) . f(v) ky-k= (t k Where f(v) represents the logistic or tansig function when the output node is nonlinear and equals 1 when the function is linear. Then, calculate the change in weight wjk using the following equation: wjk =  . k . hj ........ (13) 7. Each node in the hidden layer aggregates weighted error signals from the output layer according to the equation: )14( ………. jkwk j = j Then this value is multiplied by the activation function to calculate j , after which the change in the magnitude of the error vij is calculated and according to the equation: vjj =  . j . xi ……… (15) 8. Update the weights of each node in the output layer, according to the equation: American Journal of Business Management, Economics and Banking Volume 13 June, 2023 P a g e | 79 www.americanjournal.org )16( …….. jkw(old) + jk(new) = w jkw Then the weights for each node is updated in the hidden layer, according to the equation: )17( ………ijv(old) + ij(new) = v ijv 9. The network continues to update the weights "i.e. the process of learning and training" until the optimal weights are obtained. Thus, the desired outputs are obtained, i.e. reaching the best fit for the model under study . Where: xi: represents the network inputs, w: represents the weights between levels. 2. Logistic Regression Logistic regression is used to find the best fit model that describes the relationship between a response variable (dependent) and one or more explanatory variables (independent). Many natural phenomena exhibit non-linear behavior, and to analyze such phenomena, non-linear models are used. However, due to the difficulty in using these models, linear regression models are often used for this purpose. Logistic regression models are one such statistical model used to describe and analyze such phenomena. The logistic model is used to describe the relationship between a response variable (y) and one independent variable (x) or several independent variables (x1, ..., xn) (Al-Afifi, 2010; Ghanem & Al-Jaouni, 2011; Johnson, 1998). When there is a binary response variable and one independent variable, the general formula for the logistic model is: 𝑝(𝑥) = 1 1+𝑒−𝛼−𝛽𝑥𝑖 …….(18) Since: i=1,2,3,4,……,n, Β and α: are the two parameters of the model to be estimated. β>0 P(x): the probability of the response xi: the explanatory variable Where: −∞