Stochastic Dominance and Mean-Variance Measures of Profit and Loss for Business Planning and Investment

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Wing-Keung Wong;
  • Subject: Applied probability, Decision analysis, Risk analysis, Risk management, Uncertainty modelling

In this paper, we first extend the stochastic dominance (SD) theory by introducing the first three orders of both ascending SD (ASD) and descending SD (DSD) to decisions in business planning and investment to risk-averse and risk- loving decision makers so that they can... View more
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