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Measuring bias is important as it helps identify flaws in quantitative forecasting methods or judgmental forecasts. It can, therefore, potentially help improve forecasts. Despite this, bias tends to be under represented in the literature: many studies focus solely on measuring accuracy. Methods...
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test how risk management and financial intermediation activities create value for insurers by enhancing economic efficiency …. Insurer cost efficiency is measured relative to an econometric cost frontier. Since the prices of risk management and … cost efficiency. The econometric results show that both activities significantly increase the efficiency of the property …
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We present a new mechanism for encouraging risk taking within organizations that relies on the provision of decision insurance to managers. Since insurance increases the likelihood of free riding, we also introduce a technique that mitigates this moral hazard by automatically identifying the...
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