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We consider the robust exponential utility maximization problem in discrete time: An investor maximizes the worst case expected exponential utility with respect to a family of nondominated probabilistic models of her endowment by…

Portfolio Management · Quantitative Finance 2019-02-12 Daniel Bartl

I show that the maximum entropy principle can be replaced by a more natural assumption, that there exists a phenomenological function of entropy consistent with the microscopic model. The requirement of existence provides then a unique…

Classical Physics · Physics 2014-07-22 Łukasz Rudnicki

A characterization of the exponential distribution based on equidistribution conditions for maxima of random samples with consecutive sizes n-1 and n for an arbitrary and fixed n>2 is proved. This solves an open problem stated recently in…

Probability · Mathematics 2015-02-24 Santanu Chakraborty , George P. Yanev

For a wide range of entropy measures, easy calculation of equilibria is possible using a principle of Game Theoretical Equilibrium related to Jaynes Maximum Entropy Principle. This follows previous work of the author and relates to works of…

Statistical Mechanics · Physics 2009-11-13 Flemming Topsøe

Any given density matrix can be represented as an infinite number of ensembles of pure states. This leads to the natural question of how to uniquely select one out of the many, apparently equally suitable, possibilities. Following Jaynes'…

Quantum Physics · Physics 2025-04-23 Fabio Anza , James P. Crutchfield

Maximum entropy principle (MEP) offers an effective and unbiased approach to inferring unknown probability distributions when faced with incomplete information, while neural networks provide the flexibility to learn complex distributions…

Machine Learning · Statistics 2024-12-04 Wuyue Yang , Liangrong Peng , Guojie Li , Liu Hong

We define a one-parameter family of entropies, each assigning a real number to any probability measure on a compact metric space (or, more generally, a compact Hausdorff space with a notion of similarity between points). These entropies…

Metric Geometry · Mathematics 2020-12-17 Tom Leinster , Emily Roff

The Maximum Entropy Modeling Toolkit supports parameter estimation and prediction for statistical language models in the maximum entropy framework. The maximum entropy framework provides a constructive method for obtaining the unique…

cmp-lg · Computer Science 2008-02-03 Eric Sven Ristad

Machine learning theory has mostly focused on generalization to samples from the same distribution as the training data. Whereas a better understanding of generalization beyond the training distribution where the observed distribution…

Machine Learning · Statistics 2019-05-29 Matias Vera , Pablo Piantanida , Leonardo Rey Vega

A very popular class of models for networks posits that each node is represented by a point in a continuous latent space, and that the probability of an edge between nodes is a decreasing function of the distance between them in this latent…

Statistics Theory · Mathematics 2025-01-07 Cosma Rohilla Shalizi , Dena Marie Asta

The Maximum Entropy (MaxEnt) technique is applied to the derivation of the Gaussian Dispersion Plume Model as well as to more complex transport phenomena such as the one-dimensional advection equation, the one-dimensional diffusion…

Statistical Mechanics · Physics 2020-10-23 J. A. Secrest , J. M. Conroy , H. G. Miller

We show that a simple geometric result suffices to derive the form of the optimal solution in a large class of finite and infinite-dimensional maximum entropy problems concerning probability distributions, spectral densities and covariance…

Optimization and Control · Mathematics 2012-12-24 Michele Pavon , Augusto Ferrante

In simulations of some economic gas-like models, the asymptotic regime shows an exponential wealth distribution, independently of the initial wealth distribution given to the system. The appearance of this statistical equilibrium for this…

General Finance · Quantitative Finance 2011-05-23 Jose-Luis Lopez , Ricardo Lopez-Ruiz , Xavier Calbet

A sequence of random variables is exchangeable if its joint distribution is invariant under variable permutations. We introduce exchangeable variable models (EVMs) as a novel class of probabilistic models whose basic building blocks are…

Machine Learning · Computer Science 2014-05-06 Mathias Niepert , Pedro Domingos

The approximation of a discrete probability distribution $\mathbf{t}$ by an $M$-type distribution $\mathbf{p}$ is considered. The approximation error is measured by the informational divergence $\mathbb{D}(\mathbf{t}\Vert\mathbf{p})$, which…

Information Theory · Computer Science 2016-07-28 Bernhard C. Geiger , Georg Böcherer

Identifying future congestion points in electricity distribution networks is an important challenge distribution system operators face. A proven approach for addressing this challenge is to assess distribution grid adequacy using…

Systems and Control · Electrical Eng. & Systems 2022-07-12 Julian N. Betge , Barbera Droste , Jacco Heres , Simon H. Tindemans

Classical probability theory is based on assumptions which are often violated in practice. Therefore quantum probability is a proposed alternative not only in quantum physics, but also in other sciences. However, so far it mostly criticizes…

Quantum Physics · Physics 2024-01-23 Mirko Navara , Jan Ševic

An efficient approach to the calculation of the $\epsilon$-entropy is proposed. The method is based on the idea of looking at the information content of a string of data, by analyzing the signal only at the instants when the fluctuations…

chao-dyn · Physics 2009-10-31 M. Abel , L. Biferale , M. Cencini , M. Falcioni , D. Vergni , A. Vulpiani

Maximum-Entropy Distributions offer an attractive family of probability densities suitable for moment closure problems. Yet finding the Lagrange multipliers which parametrize these distributions, turns out to be a computational bottleneck…

Machine Learning · Statistics 2023-08-14 Mohsen Sadr , Manuel Torrilhon , M. Hossein Gorji

Designing reliable networks consists in finding topological structures, which are able to successfully carry out desired processes and operations. When this set of activities performed within a network are unknown and the only available…

Optimization and Control · Mathematics 2014-09-22 Stefano Nasini
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