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We provide an economic interpretation of the practice consisting in incorporating risk measures as constraints in a classic expected return maximization problem. For what we call the infimum of expectations class of risk measures, we show…

Risk Management · Quantitative Finance 2009-06-19 Laetitia Andrieu , Michel De Lara , Babacar Seck

In settings where units' outcomes are affected by others' treatments, there has been a proliferation of ways to quantify effects of treatments on outcomes, including via indirect exposure to other units' treatments. Here we consider two…

Methodology · Statistics 2026-03-10 Sahil Loomba , Dean Eckles

Bipartite experiments are a recent object of study in causal inference, whereby treatment is applied to one set of units and outcomes of interest are measured on a different set of units. These experiments are particularly useful in…

Measuring and managing risk has become crucial in modern decision making under stochastic uncertainty. In two-stage stochastic programming, mean risk models are essentially defined by a parametric recourse problem and a quantification of…

Optimization and Control · Mathematics 2016-11-28 Matthias Claus , Volker Krätschmer , Rüdiger Schultz

Statistical inferential results generally come with a measure of reliability for decision-making purposes. For a policy implementer, the value of implementing published policy research depends critically upon this reliability. For a policy…

Other Statistics · Statistics 2024-08-21 Duncan Ermini Leaf

We propose a multivariate extension of Yaari's dual theory of choice under risk. We show that a decision maker with a preference relation on multidimensional prospects that preserves first order stochastic dominance and satisfies…

Theoretical Economics · Economics 2021-02-23 Alfred Galichon , Marc Henry

Binary relations are an important abstraction arising in many data representation problems. The data structures proposed so far to represent them support just a few basic operations required to fit one particular application. We identify…

Data Structures and Algorithms · Computer Science 2012-01-18 Jérémy Barbay , Francisco Claude , Gonzalo Navarro

The purpose of this paper is to describe and extend the use of the newly-introduced measure, residual estimation risk. Following the seminal work of Bignozzi and Tsanakas, the quantification of residual estimation risk is proposed in a…

Risk Management · Quantitative Finance 2026-03-19 D. J. Manuge

We axiomatically introduce risk-consistent conditional systemic risk measures defined on multidimensional risks. This class consists of those conditional systemic risk measures which can be decomposed into a state-wise conditional…

Risk Management · Quantitative Finance 2016-09-27 Hannes Hoffmann , Thilo Meyer-Brandis , Gregor Svindland

In this work we propose deep learning-based algorithms for the computation of systemic shortfall risk measures defined via multivariate utility functions. We discuss the key related theoretical aspects, with a particular focus on the…

Machine Learning · Computer Science 2023-06-16 Alessandro Doldi , Yichen Feng , Jean-Pierre Fouque , Marco Frittelli

In this article, we propose a novel characterization of law-invariant and coherent risk measures, based on a generalized optimal transport problem in which the second marginal of the admissible plans is not fixed, but required to lie within…

Optimization and Control · Mathematics 2025-12-23 Riccardo Bonalli , Benoît Bonnet-Weill , Laurent Pfeiffer

We consider an analyst whose goal is to identify a subject's utility function through revealed preference analysis. We argue the analyst's preference about which experiments to run should adhere to three normative principles: The first,…

Theoretical Economics · Economics 2024-11-19 Fernando Payró , Evan Piermont

We advance a general theory of coherent preference that surrenders restrictions embodied in orthodox doctrine. This theory enjoys the property that any preference system admits extension to a complete system of preferences, provided it…

Probability · Mathematics 2025-08-04 Arthur Paul Pedersen , Samuel Allen Alexander

We consider coherent sublinear expectations on a measurable space, without assuming the existence of a dominating probability measure. By considering a decomposition of the space in terms of the supports of the measures representing our…

Probability · Mathematics 2011-10-27 Samuel N. Cohen

In this work we present two particular cases of the general duality result for linear optimisation problems over signed measures with infinitely many constraints in the form of integrals of functions with respect to the decision variables…

Optimization and Control · Mathematics 2015-01-20 Raphael Hauser , Sergey Shahverdyan

In previous work cite{Ha98:Towards} we presented a case-based approach to eliciting and reasoning with preferences. A key issue in this approach is the definition of similarity between user preferences. We introduced the probabilistic…

Artificial Intelligence · Computer Science 2013-01-14 Vu A. Ha , Peter Haddawy , John Miyamoto

Machine learning models are often used to inform real world risk assessment tasks: predicting consumer default risk, predicting whether a person suffers from a serious illness, or predicting a person's risk to appear in court. Given…

Machine Learning · Computer Science 2023-06-27 Jamelle Watson-Daniels , David C. Parkes , Berk Ustun

Probability of necessity and sufficiency (PNS) measures the likelihood of a feature set being both necessary and sufficient for predicting an outcome. It has proven effective in guiding representation learning for unimodal data, enhancing…

Machine Learning · Computer Science 2024-11-28 Boyu Chen , Junjie Liu , Zhu Li , Mengyue Yang

In consumer theory, ranking available objects by means of preference relations yields the most common description of individual choices. However, preference-based models assume that individuals: (1) give their preferences only between pairs…

Machine Learning · Computer Science 2023-02-02 Alessio Benavoli , Dario Azzimonti , Dario Piga

Game-theoretic formulations of feature importance have become popular as a way to "explain" machine learning models. These methods define a cooperative game between the features of a model and distribute influence among these input elements…

Artificial Intelligence · Computer Science 2020-07-01 I. Elizabeth Kumar , Suresh Venkatasubramanian , Carlos Scheidegger , Sorelle Friedler