Purpose – Definitions of pooling effects in insurance companies may convey the impression that the achieved risk reduction effect will be beneficial for policyholders, since typically lower premiums are paid for the same safety level with an increasing number of insureds, or a higher safety...

A choice model based on utility in a sequence of prospective future health states permits us to generalize the concept of the value of statistical life (VSL). Our representative national survey asks individuals to choose between costly risk-reducing programs and the status quo in randomized...

The report has been prepared on the basis of seven independent provided research projects, realised by experts from all countries of CEE. The seven research projects are: 1) Development of risk analyses on energy and environmental conservation; 2) Strategic forecast on energy and environment...

This paper uses a maximum likelihood procedure that accounts for unobserved heterogeneity in the sample to implement a preference-based model to assess factors that influence parents' likelihood of losing their composure and physically abusing their children. A basic supposition of the model is...

In contrast to recent successful developments in macro monetary policies, the modelling, measurement and management of systemic financial stability has remained problematical. Indeed, the focus of most effort has been on improving individual, rather than systemic, bank risk management; the Basel...

Successive CAP reforms raise the question of whether it can have a price-stabilizing capability. In this context more and more attention is being paid to private risk-managing instruments such as storage. The effects of storage have already been widely studied in the economic literature. But...

Due to rising incidences of natural calamities, governments are lacking capacity to properly protect households living in areas which are prone to disasters like cyclones and associated storm surges. To protect the property damages of the disaster victims, private storm protection activities...

There is a growing concern that risks of disease outbreak and pandemics are increasing over time. We consider optimal investments in prevention before an outbreak using an endogenous risk approach within an optimal control setting. Using the threat of pandemic influenza as an illustrative...

Credit risk models used in quantitative risk management treat credit risk analysis conceptually like a single person decision problem. From this perspective an exogenous source of risk drives the fundamental parameters of credit risk: probability of default, exposure at default and the recovery...

Due to rising incidences of natural calamities, governments are lacking capacity to properly protect households living in areas which are prone to disasters like cyclones and associated storm surges. To protect the property damages of the disaster victims, private storm protection activities...