Nonparametric linear regression and fuzzy linear regression have been
developed based on different perspectives and assumptions, and thus th
ere exist conceptual and methodological differences between the two ap
proaches. This article describes their comparative characteristics suc
h as basic assumptions, parameter estimation, and applications, and th
en compares their predictive and descriptive performances by a simulat
ion experiment to identify the conditions under which one method perfo
rms better than the other. The experimental results indicate that nonp
arametric linear regression is superior to fuzzy linear regression in
predictive capability, whereas their descriptive capabilities depend o
n various factors. When the size of the data set is small, error terms
have small variability, or when the relationships among variables are
not well specified, fuzzy linear regression outperforms nonparametric
linear regression with respect to descriptive capability The conditio
ns under which each method can be used as a viable alternative to the
conventional least squares regression are also identified. The finding
s of this article would be useful in selecting the proper regression m
ethodology to employ under specific conditions for descriptive and pre
dictive purposes. (C) 1997 Elsevier Science Ltd.