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A computationally feasible method for the full information maximum-likelihood estimation of models with rational expectations is described in this paper. The stochastic simulation of such models is a...
California's Cap and Trade market in greenhouse gases (GHG) is now in its third calendar year, with the rst allowance auction taking place on November 14, 2012 and compliance obligations commencing...
To better understand how a cap-and-trade market might function under high-carbon-price conditions, the authors ran a simulation called the ‘Electricity Strategy Game’ created by Severin Borenstein ...
We introduce a numerical algorithm for solving dynamic economic models that merges stochastic simulation and projection approaches: we use simulation to approximate the ergodic measure of the solution...
Through the learning from existing research in China, this paper analyses the mechanism of industry environment which has deep effect on enterprise financial risk and summarizes the seven dimensions o...
Simulation of the electricity market participant’s behaviour is important for producers and consumers to determine their bidding strategies and for regulating the market rules. In literature, for this...
Combining a system dynamics and agent based modeling approach, we formalize a simulation framework of the Human Development (HD) perspective. We first capture the core logic of HD theory in a asymmet...
Construction projects are encountered with serious risks in the completion of the project. One of these risks is the inaccuracy of cost estimate; the project is carried out under conditions of uncerta...
High performance computing (HPC) is a very attractive and relatively new area of research, which gives promising results in many applications. In this paper HPC is used for pricing of American options...
We consider a general class of high order weak approximation schemes for stochastic differential equations driven by L\'evy processes with infinite activity. These schemes combine a compound Poisson a...
The emergence of an ever-widening sphere of global public policy is a new reality in a world characterized by the blurring of boundaries between the national and the global; by flows of ideas, people,...
An interesting analog circuit for simulating a signal with fluctuations having a probability density function with a power tail has recently been proposed and constructed. The exponent of the power la...
We consider the problem of simulating tail loss probabilities and expected losses conditioned on exceeding a large threshold (expected shortfall) for credit portfolios. Instead of the commonly used no...
Credit scoring models have been used traditionally as the basis of decisions to reject or accept credit applications. They are also used to categorize applicants or existing accounts into risk groups....

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