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We first show (1) the importance of investigating health expenditure process using the order two Markov chain model, rather than the standard order one model, which is widely used in the literature. Markov chain of order two is the minimal…

Econometrics · Economics 2018-01-29 Taiyo Fukai , Hidehiko Ichimura , Kyogo Kanazawa

In recent years, the monitoring of compositional data using control charts has been investigated in the Statistical Process Control field. In this study, we will design a Phase II Multivariate Exponentially Weighted Moving Average (MEWMA)…

Applications · Statistics 2022-03-30 Thi Thuy Van Nguyen , Cédric Heuchenne , Kim Phuc Tran

Background: All-in-one station-based health monitoring devices are implemented in elder homes in Hong Kong to support the monitoring of vital signs of the elderly. During a pilot study, it was discovered that the systolic blood pressure was…

We introduce the Lyapunov approach to optimal control problems of average risk-sensitive Markov control processes with general risk maps. Motivated by applications in particular to behavioral economics, we consider possibly non-convex risk…

Optimization and Control · Mathematics 2015-07-23 Yun Shen , Klaus Obermayer , Wilhelm Stannat

We discuss various models for epidemics on networks that rely on Markov chains. Random walks on graphs are often used to predict epidemic spread and to investigate possible control actions to mitigate them. In this study, we demonstrate…

Physics and Society · Physics 2022-07-07 Sooyeong Kim , Jane Breen , Ekaterina Dudkina , Federico Poloni , Emanuele Crisostomi

Control charts for process monitoring are widely used in practice. Most control charts require the monitored (residuals) process to be serially independent (and to satisfy specified distributional assumptions), whereas undetected dependence…

Methodology · Statistics 2026-05-27 Christian H. Weiß , José M. Amigó

We treat the problem of risk-aware control for stochastic shortest path (SSP) on Markov decision processes (MDP). Typically, expectation is considered for SSP, which however is oblivious to the incurred risk. We present an alternative view,…

Systems and Control · Electrical Eng. & Systems 2022-03-04 Tobias Meggendorfer

A Markov-chain model is developed for the purpose estimation of the cure rate of non-performing loans. The technique is performed collectively, on portfolios and it can be applicable in the process of calculation of credit impairment. It is…

Risk Management · Quantitative Finance 2018-07-03 Vilislav Boutchaktchiev

Estimating the transition dynamics of controlled Markov chains is crucial in fields such as time series analysis, reinforcement learning, and system exploration. Traditional non-parametric density estimation methods often assume independent…

Statistics Theory · Mathematics 2025-05-21 Imon Banerjee , Vinayak Rao , Harsha Honnappa

We study risk-sensitive control of continuous time Markov chains taking values in discrete state space. We study both finite and infinite horizon problems. In the finite horizon problem we characterise the value function via HJB equation…

Optimization and Control · Mathematics 2014-09-16 Mrinal K. Ghosh , Subhamay Saha

This work focuses on optimal controls of a class of stochastic SIS epidemic models under regime switching. By assuming that a decision maker can either influence the infectivity period or isolate infected individuals, our aim is to minimize…

Optimization and Control · Mathematics 2021-01-12 Ky Tran , George Yin

This paper investigates methods for estimating the optimal stochastic control policy for a Markov Decision Process with unknown transition dynamics and an unknown reward function. This form of model-free reinforcement learning comprises…

Machine Learning · Computer Science 2019-12-06 Brandon Trabucco , Albert Qu , Simon Li , Ganeshkumar Ashokavardhanan

Parametric Markov chains occur quite naturally in various applications: they can be used for a conservative analysis of probabilistic systems (no matter how the parameter is chosen, the system works to specification); they can be used to…

Logic in Computer Science · Computer Science 2018-11-05 Paul Gainer , Ernst Moritz Hahn , Sven Schewe

This paper considers a distributed decision-making approach for manufacturing task assignment and condition-based machine health maintenance. Our approach considers information sharing between the task assignment and health management…

Artificial Intelligence · Computer Science 2025-10-22 Ali Nasir , Samir Mekid , Zaid Sawlan , Omar Alsawafy

There has been significant attention given to developing data-driven methods for tailoring patient care based on individual patient characteristics. Dynamic treatment regimes formalize this through a sequence of decision rules that map…

Methodology · Statistics 2022-02-22 Eric J. Rose , Erica E. M. Moodie , Susan Shortreed

Estimation in the deformable template model is a big challenge in image analysis. The issue is to estimate an atlas of a population. This atlas contains a template and the corresponding geometrical variability of the observed shapes. The…

Statistics Theory · Mathematics 2013-09-09 Stéphanie Allassonniere , Estelle Kuhn

This paper deals with discrete-time Markov control processes on a general state space. A long-run risk-sensitive average cost criterion is used as a performance measure. The one-step cost function is nonnegative and possibly unbounded.…

Risk Management · Quantitative Finance 2016-08-14 Anna Jaśkiewicz

To extend healthy life expectancy in an aging society, it is crucial to prevent various diseases at pre-disease states. Although dynamical network biomarker theory has been developed for pre-disease detection, mathematical frameworks for…

Optimization and Control · Mathematics 2026-01-07 Makito Oku

This paper studies a large number of homogeneous Markov decision processes where the transition probabilities and costs are coupled in the empirical distribution of states (also called mean-field). The state of each process is not known to…

Optimization and Control · Mathematics 2020-12-03 Jalal Arabneydi , Amir G. Aghdam

We present a new, tractable method for solving and analyzing risk-aware control problems over finite and infinite, discounted time-horizons where the dynamics of the controlled process are described as a martingale problem. Supposing…

Optimization and Control · Mathematics 2020-06-23 Jukka Isohätälä , William B. Haskell