We study how investments that require long-term financial commitments are affected by undiversifiable, uninsurable risk … in the economic environment in the context of investor preferences characterized by decreasing absolute risk aversion and … risk aversion, this leads to an endogenous discounting of long-term projects. High perceived risk in the economic …

and cost contingencies in complex projects -- Cost escalation and exchange-rate volatility risk assessment methods -- High …-level overview of simplistic Monte Carlo and parametric risk assessment methods -- Case study 1: applications of a tradition PRM …This book integrates for readers three areas of knowledge, pertaining to risk-based project decision making: project …

ch. 1. Introduction : why conduct risk analysis? -- ch. 2. Cost risk analysis basics : the three-point estimate and an … analytic solution, the method of moments -- ch. 3. What is Monte Carlo simulation and how does it apply to cost risk analysis …? -- ch. 4. Collecting high-quality data on cost risk methods and challenges -- ch. 5. Correlation between common project …

We review and apply Quasi Monte Carlo (QMC) and Global Sensitivity Analysis (GSA) techniques to pricing and risk … bridge discretization. We conclude that, beyond pricing, QMC is a very promising technique also for computing risk figures … modern risk management …