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Modern regulatory capital standards, such as the Solvency II standard formula, employ a correlation based approach for risk aggregation. The so-called "square-root formula" uses correlation parameters between, for example, market risk, non-life insurance risk and default risk to determine the...
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number of models, the impact of rules for primary permit allocation has so far hardly been focused on. This was mostly seen … permit allocation rules shows that the number of permits allocated to new plants often depends on their fuel and technology … generation technologies, emission constraints, endogenous investment allocation rules and price elasticity of demand. In …
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The eigenproblem solution of the multi-domain efficient allocation is identified as a direct generalization of the … classical Neyman-Tchuprov optimal allocation in stratified SRSWOR. This is achieved through analysis of eigenvalues and … structure of the optimal allocation vector and relative variance than in such purely numerical tools (although the eigenproblem …
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