This paper uses the empirical characteristic function (ECF) procedure to estimate the parameters of mixtures of normal distributions. Since the characteristic function is uniformly bounded, the procedure gives estimates that are numerically stable. It is shown that, using Monte Carlo simulation,...

Testing the distribution of a random sample can be considered ,indeed, as a goodness-of-fit problem. If we use the nonparametric density estimation of the sample as a consistent estimate of exact distribution, the problem reduces, more specifically, to the distance of two functions. This paper...

This communication is a response to the insightful note by Fellows on previous papers by the author. Not only has Fellows supplemented Chau's major arguments, he has also expanded the scope of discussion and raised new issues. While the author agrees with most of the points made by Fellows,...

Assessment of BOT project financial risk is generally performed by combining Monte Carlo simulation with discounted cash flow analysis. The outcomes of this risk assessment depend, to a significant extent, upon the total project uncertainty, which aggregates aleatory and epistemic uncertainties...

Variations in the durations of activities are commonplace in the construction industry. This is due to the fact that the construction industry is influenced greatly by variations in weather, productivity of labour and plant, and quality of materials. Stochastic network analysis has been used by...

This paper was prepared for the purpose of presenting the methodology and uses of the Monte Carlo simulation technique as applied in the evaluation of investment projects to analyse and assess risk. The first part of the paper highlights the importance of risk analysis in investment appraisal....

Focusing on individual motorists in car-owning households in Germany, this analysis econometrically investigates the determinants of automobile travel for non-work service activities against the backdrop of two questions: 1) Does gender play a role in determining the probability of car use and...

There are several different economic barriers such as high up-front capital costs, high transaction costs and diverse risks (e.g. performance and technical, contract risks, market risks) that keep potential investors or institutional lenders from investing in decentralized renewable energy...

In this paper, a probabilistic method is proposed to analyze the steady-state operating conditions of an active electrical distribution system with Wind (WD) and Photovoltaic (PV) generation plants. This method takes into account the uncertainties of power load demands and power production from...

Nowadays, the European natural gas production has declined having, as a consequence, increased import dependence, which is estimated to reach 85% by 2030. Therefore, the implementation of a European energy policy, towards the viability, competitiveness and security of energy supply, is more than...