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Nobel Laureates

A "Generalization" of the Logistic Curves and Long-Range Forecasts (1966-1991) of Residence Telephones


Volume: Volume 2, No. 2

Issue: Autumn 1971

Pages: pp. 542-560

Authors: Roshan L. Chaddha and Sharad S. Chitgopekar

Title: A "Generalization" of the Logistic Curves and Long-Range Forecasts (1966-1991) of Residence Telephones

Abstract: This paper investigates the development of a class of models suggested by an application of the logistic curve to model the growth of Bell System residence telephones. These models are expected to be more flexible than the "S"-shaped logistic curve. They allow the "potential expansion of growth" to be a function of a number of economic and sociological variables, e.g., the number of households, per capita disposable income, average revenue per telephone, etc. This approach resulted in the development of a useful model for forecasting Bell System residence telephones.
In addition, a new technique for testing the hypothesis that the saturation level in a logistic function is constant is proposed. A discussion of the statistical properties of the estimates is also included.