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Expected Utility
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Expected may refer to: *Expectation (epistemic) *Expected value *Expected shortfall *Expected utility hypothesis *Expected return *Expected loss See also * Unexpected (other) *Expected value (other) Expected value is a term used in probability theory and statistics. It may also refer to: Physics * Expectation value (quantum mechanics) In quantum mechanics, the expectation value is the probabilistic expected value of the result (measurement ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Expectation (epistemic)
In the case of uncertainty, expectation is what is considered the most likely to happen. An expectation, which is a belief that is centered on the future, may or may not be realistic. A less advantageous result gives rise to the emotion of disappointment. If something happens that is not at all expected, it is a surprise (emotion), surprise. An expectation about the behavior or performance of another person, expressed to that person, may have the nature of a strong request, or an order; this kind of expectation is called a social norm. The degree to which something is expected to be true can be expressed using fuzzy logic. Anticipation is the emotion corresponding to expectation. Expectations of well-being Richard Lazarus asserts that people become accustomed to positive or negative life experiences which lead to favorable or unfavorable expectations of their present and near-future circumstances. Lazarus notes the widely accepted philosophical principle that "happiness depends on ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Expected Value
In probability theory, the expected value (also called expectation, expectancy, expectation operator, mathematical expectation, mean, expectation value, or first Moment (mathematics), moment) is a generalization of the weighted average. Informally, the expected value is the arithmetic mean, mean of the possible values a random variable can take, weighted by the probability of those outcomes. Since it is obtained through arithmetic, the expected value sometimes may not even be included in the sample data set; it is not the value you would expect to get in reality. The expected value of a random variable with a finite number of outcomes is a weighted average of all possible outcomes. In the case of a continuum of possible outcomes, the expectation is defined by Integral, integration. In the axiomatic foundation for probability provided by measure theory, the expectation is given by Lebesgue integration. The expected value of a random variable is often denoted by , , or , with a ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Expected Shortfall
Expected shortfall (ES) is a risk measure—a concept used in the field of financial risk measurement to evaluate the market risk or credit risk of a portfolio. The "expected shortfall at q% level" is the expected return on the portfolio in the worst q\% of cases. ES is an alternative to value at risk that is more sensitive to the shape of the tail of the loss distribution. Expected shortfall is also called conditional value at risk (CVaR), average value at risk (AVaR), expected tail loss (ETL), and superquantile. ES estimates the risk of an investment in a conservative way, focusing on the less profitable outcomes. For high values of q it ignores the most profitable but unlikely possibilities, while for small values of q it focuses on the worst losses. On the other hand, unlike the discounted maximum loss, even for lower values of q the expected shortfall does not consider only the single most catastrophic outcome. A value of q often used in practice is 5%. Expected shortfall is ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Expected Utility Hypothesis
The expected utility hypothesis is a foundational assumption in mathematical economics concerning decision making under uncertainty. It postulates that rational agents maximize utility, meaning the subjective desirability of their actions. Rational choice theory, a cornerstone of microeconomics, builds this postulate to model aggregate social behaviour. The expected utility hypothesis states an agent chooses between risky prospects by comparing expected utility values (i.e., the weighted sum of adding the respective utility values of payoffs multiplied by their probabilities). The summarised formula for expected utility is U(p)=\sum u(x_k)p_k where p_k is the probability that outcome indexed by k with payoff x_k is realized, and function ''u'' expresses the utility of each respective payoff. Graphically the curvature of the u function captures the agent's risk attitude. For example, imagine you’re offered a choice between receiving $50 for sure, or flipping a coin to win $100 i ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Expected Return
The expected return (or expected gain) on a financial investment is the expected value of its return (of the profit on the investment). It is a measure of the center of the distribution of the random variable that is the return. It is calculated by using the following formula: :E \sum_^R_P_ where :: R_ is the return in scenario i; ::P_ is the probability for the return R_ in scenario i; and ::n is the number of scenarios. The expected rate of return is the expected return per currency unit (e.g., dollar) invested. It is computed as the expected return divided by the amount invested. The required rate of return is what an investor would require to be compensated for the risk borne by holding the asset; "expected return" is often used in this sense, as opposed to the more formal, mathematical, sense above. Application Although the above represents what one expects the return to be, it only refers to the long-term average. In the short term, any of the various scenarios could occu ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Expected Loss
Expected may refer to: *Expectation (epistemic) *Expected value In probability theory, the expected value (also called expectation, expectancy, expectation operator, mathematical expectation, mean, expectation value, or first Moment (mathematics), moment) is a generalization of the weighted average. Informa ... * Expected shortfall * Expected utility hypothesis * Expected return * Expected loss See also * Unexpected (other) * Expected value (other) {{disambig ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Unexpected (other)
Unexpected may refer to: Film and television * ''Unexpected'' (2005 film), an Italian documentary directed by Domenico Distilo * ''Unexpected'' (2015 film), an American film directed by Kris Swanberg * ''The Unexpected'' (TV series), a 1950s TV anthology series * "Unexpected" (''Heroes''), a television episode * "Unexpected" (''Star Trek: Enterprise''), a television episode Literature * ''The Unexpected'' (1968 comic book), a 1968–1982 DC Comics horror-fantasy series, a continuation of ''Tales of the Unexpected'' * ''The Unexpected'' (2018 comic book), a 2018–2019 DC Comics superhero series * ''The Unexpected'' (novel), a 2000 ''Animorphs'' novel by K.A. Applegate * "The Unexpected", a short story by Kate Chopin Music * ''Unexpected'' (Angie Stone album) or the title song, 2008 * ''Unexpected'' (Levina album), 2017 * ''Unexpected'' (Lumidee album), 2007 * ''Unexpected'' (Michelle Williams album) or the title song, 2008 * ''Unexpected'' (Sandy Mölling album) or the tit ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
