A fixed point approach for computing actuarially fair Pareto optimal risk-sharing rules

"#risksharing is one way to pool risks without the need for a #thirdparty. To ensure the attractiveness of such a system, the rule should be accepted and understood by all participants. A desirable risk-sharing rule should fulfill #actuarial fairness and #pareto optimality while being easy to compute. This paper establishes a one-to-one correspondence between an actuarially fair #paretooptimal (AFPO) risk-sharing rule and a fixed point of a specific function."

LIRE

Posts récents

Voir tout

Are Svb and Signature Bank Canaries in a Coalmine or is Something Else Going on?

"This article discusses the recent bank failures of #svb and #signaturebank and analyzes the balance sheets of these banks to determine if they were outliers or if they represent a systemic problem in

Cybersecurity and Executive Compensation

The findings underscore the importance of inside debt compensation as a #riskmanagement #governance mechanism that alleviates inefficiencies related to #cybersecurity investments. LIRE

ESG and the Weakening Business Judgment Rule

As more #laws and #legal norms are introduced to enforce #esg standards, directors are required to ensure that their corporation complies with these standards. This encroaches on the #fiduciary relati