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The Expected Discounted Penalty at Ruin for a Markov-Modulated Risk Process Perturbed by Diffusion

2007· article· en· W1975354846 on OpenAlex

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affAt least one author lists a Canadian institution in the pinned OpenAlex snapshot.
fundA Canadian funder is recorded on the work.

Bibliographic record

VenueNorth American Actuarial Journal · 2007
Typearticle
Languageen
FieldDecision Sciences
TopicProbability and Risk Models
Canadian institutionsSimon Fraser University
FundersNatural Sciences and Engineering Research Council of Canada
KeywordsErlang (programming language)Markov processMathematicsExponential functionApplied mathematicsDiffusion processFirst-hitting-time modelRisk processPenalty methodStochastic differential equationExponential distributionMarkov chainErlang distributionDiffusionState (computer science)Mathematical optimizationComputer scienceMathematical analysisStatisticsAlgorithm

Abstract

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Abstract A Markov-modulated risk process perturbed by diffusion is considered in this paper. In the model the frequencies and distributions of the claims and the variances of the Wiener process are influenced by an external Markovian environment process with a finite number of states. This model is motivated by the flexibility in modeling the claim arrival process, allowing that periods with very frequent arrivals and ones with very few arrivals may alternate. Given the initial surplus and the initial environment state, systems of integro-differential equations for the expected discounted penalty functions at ruin caused by a claim and oscillation are established, respectively; a generalized Lundberg’s equation is also obtained. In the two-state model, the expected discounted penalty functions at ruin due to a claim and oscillation are derived when both claim amount distributions are from the rational family. As an illustration, the explicit results are obtained for the ruin probability when claim sizes are exponentially distributed. A numerical example also is given for the case that two classes of claims are Erlang(2) distributed and of a mixture of two exponentials.

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Full frame distilled prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. Learned from the 10,348 direct Codex labels and 10,348 direct Gemma labels. Candidate is the union of thresholded teacher heads; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels or direct frontier model labels.

metaresearch head score (Codex)0.005
metaresearch head score (Gemma)0.007
Version: codex-gemma-dda1882f352aValidation status: machine_predicted_unvalidated
Candidate categoriesScience and technology studies
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Observational · Consensus signal: none
GenreCandidate signal: Empirical · Consensus signal: Empirical
Teacher disagreement score0.666
Threshold uncertainty score0.998

Codex and Gemma teacher scores by category

CategoryCodexGemma
Metaresearch0.0050.007
Meta-epidemiology (narrow)0.0000.000
Meta-epidemiology (broad)0.0010.000
Bibliometrics0.0000.001
Science and technology studies0.0030.001
Scholarly communication0.0010.000
Open science0.0010.000
Research integrity0.0000.001
Insufficient payload (model declined to judge)0.0000.000

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.026
GPT teacher head0.355
Teacher spread0.329 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it