Application of Extreme Learning Machine Algorithm (ELM) in Forecasting Inflation Rate in Indonesia

Abstrak

One indicator to determine the economic stability of a country can be seen from the inflation rate of
a country. Inflation is an economic symptom in the form of a general increase in prices or a tendency to
increase the prices of goods and services in general and continuously. In an effort to anticipate the
impact of inflation in the future, an analysis is needed to find out how the development of the inflation
rate is by forecasting. Extreme Learning Machine is a feed-forward artificial neural network algorithm with one
hidden layer is called Single Hidden Layer Neural Networks (SLFNs). Based on the research that has been done,
forecasting the inflation rate in Indonesia using the Extreme Learning Machine algorithm obtained the best
architecture is (12,30,1) with a MAPE value of 10%. These results show good forecasting because the resulting
MAPE is relatively low.