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We study the aggregation of two risks when the marginal distributions are known and the dependence structure is unknown, under the additional constraint that one risk is smaller than or equal to the other. Risk aggregation problems with the…

Risk Management · Quantitative Finance 2021-10-22 Yuyu Chen , Liyuan Lin , Ruodu Wang

We present a generic and powerful approach to study the statistics of extreme phenomena (meteorology, finance, biology...) that we apply to the statistical estimation of the tail of the distribution of earthquake sizes. The chief innovation…

Geophysics · Physics 2008-05-13 V. F. Pisarenko , A. Sornette , D. Sornette , M. V. Rodkin

Capturing aleatoric uncertainty is a critical part of many machine learning systems. In deep learning, a common approach to this end is to train a neural network to estimate the parameters of a heteroscedastic Gaussian distribution by…

Machine Learning · Computer Science 2022-04-04 Maximilian Seitzer , Arash Tavakoli , Dimitrije Antic , Georg Martius

Bayesian model averaging, obtained as the expectation of a likelihood function by a posterior distribution, has been widely used for prediction, evaluation of uncertainty, and model selection. Various approaches have been developed to…

Machine Learning · Statistics 2021-06-11 Futoshi Futami , Tomoharu Iwata , Naonori Ueda , Issei Sato , Masashi Sugiyama

In classical newsvendor model, piece-wise linear shortage and excess costs are balanced out to determine the optimal order quantity. However, for critical perishable commodities, severity of the costs may be much more than linear. In this…

Methodology · Statistics 2021-07-01 Soham Ghosh , Sujay Mukhoti

The present article is devoted to the semi-parametric estimation of multivariate expectiles for extreme levels. The considered multivariate risk measures also include the possible conditioning with respect to a functional covariate,…

Statistics Theory · Mathematics 2023-03-30 Elena Di Bernardino , Thomas Laloë , Cambyse Pakzad

Probabilistic risk aversion, defined through quasi-convexity in probabilistic mixtures, is a common useful property in decision analysis. We study a general class of non-monotone mappings, called the generalized rank-dependent functions,…

Theoretical Economics · Economics 2024-09-30 Ruodu Wang , Qinyu Wu

In this paper we consider the problem of computing the likelihood of the profile of a discrete distribution, i.e., the probability of observing the multiset of element frequencies, and computing a profile maximum likelihood (PML)…

Data Structures and Algorithms · Computer Science 2020-04-07 Nima Anari , Moses Charikar , Kirankumar Shiragur , Aaron Sidford

In this work, we consider the problem of estimating the probability distribution, the quantile or the conditional expectation above the quantile, the so called conditional-value-at-risk, of output quantities of complex random differential…

Computation · Statistics 2023-05-23 Quentin Ayoul-Guilmard , Sundar Ganesh , Sebastian Krumscheid , Fabio Nobile

We provide a general framework to study stochastic sequences related to individual learning in economics, learning automata in computer sciences, social learning in marketing, and other applications. More precisely, we study the asymptotic…

Probability · Mathematics 2014-10-07 Carlos Oyarzun , Johannes Ruf

In this paper, we define probabilistic measures for venture portfolio performance based on individual outlier probability for each investment and the dependence across investments. This work is inspired by loan portfolio modeling against…

Computational Engineering, Finance, and Science · Computer Science 2026-02-10 Kensei Sakamoto , Hasan Ugur Koyluoglu , Fuat Alican , Yigit Ihlamur

Consider $n$ i.i.d. random vectors on $\mathbb{R}^2$, with unknown, common distribution function $F$. Under a sharpening of the extreme value condition on $F$, we derive a weighted approximation of the corresponding tail copula process.…

Statistics Theory · Mathematics 2007-06-13 John H. J. Einmahl , Laurens de Haan , Deyuan Li

Random planar graphs have been the subject of much recent work. Many basic properties of the standard uniform random planar graph P_{n}, by which we mean a graph chosen uniformly at random from the set of all planar graphs with vertex set…

Combinatorics · Mathematics 2013-07-23 Chris Dowden

This paper studies binary logistic regression for rare events data, or imbalanced data, where the number of events (observations in one class, often called cases) is significantly smaller than the number of nonevents (observations in the…

Machine Learning · Statistics 2020-06-02 HaiYing Wang

Let $A_n$ be a random symmetric matrix with Bernoulli $\{\pm 1\}$ entries. For any $\kappa>0$ and two real numbers $\lambda_1,\lambda_2$ with a separation $|\lambda_1-\lambda_2|\geq \kappa n^{1/2}$ and both lying in the bulk…

Probability · Mathematics 2025-04-23 Yi Han

Advanced science and technology provide a wealth of big data from different sources for extreme value analysis. Classical extreme value theory was extended to obtain an accelerated max-stable distribution family for modelling competing…

Statistics Theory · Mathematics 2024-06-25 Kaihao Hu , Kai Wang , Corina Constantinescu , Zhengjun Zhang , Chengxiu Ling

Many common loss functions such as mean-squared-error, cross-entropy, and reconstruction loss are unnecessarily rigid. Under a probabilistic interpretation, these common losses correspond to distributions with fixed shapes and scales. We…

Machine Learning · Computer Science 2020-10-05 Mark Hamilton , Evan Shelhamer , William T. Freeman

We study the number of linear extensions of a partial order with a given proportion of comparable pairs of elements, and estimate the maximum and minimum possible numbers. We also consider a random interval partial order on $n$ elements,…

Combinatorics · Mathematics 2018-10-16 Colin McDiarmid , David Penman , Vasileios Iliopoulos

This paper develops a general theory on rates of convergence of penalized spline estimators for function estimation when the likelihood functional is concave in candidate functions, where the likelihood is interpreted in a broad sense that…

Statistics Theory · Mathematics 2021-05-14 Jianhua Z. Huang , Ya Su

We consider a Gibbs distribution over all spanning trees of an undirected, edge weighted finite graph, where, up to normalization, the probability of each tree is given by the product of its edge weights. Defining the weighted degree of a…

Discrete Mathematics · Computer Science 2024-10-18 Enrique Fita Sanmartín , Christoph Schnörr , Fred A. Hamprecht