Electrophysiological recordings are considered a reliable method of assessing a person's alertness. Sleep medicine is asked to offer objective methods to measure daytime alertness, tiredness and sleepiness. In this study, EEG signals recorded from 30 subjects were processed by PC-computer using classical and model-based methods. The classical method (fast Fourier transform) and three model-based methods (Burg autoregresse, moving average, least-squares modified Yule–Walker autoregressive moving average methods) were selected for processing EEG signals to discriminate the alertness level of subject. Power spectra of EEG signals were obtained by using these spectrum analysis techniques. These EEG spectra were then used to compare the applied methods in terms of their frequency resolution and the effects in determination of vigilance state of subject. It is found that, FFT and MA methods have low spectral resolution, these two methods are not appropriate for the analysis of the a wake–sleep correlation. Burg AR and least-squares modified Yule–Walker ARMA methods' performance characteristics have been found extremely valuable for the determination of vigilance state of a healthy subject, because of their clear spectra.