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Cybernetics and Systems Analysis

, Volume 42, Issue 6, pp 839–850 | Cite as

On measuring and profiling catastrophic risks

  • V. I. Norkin
Article

Abstract

An approach to decision-making under catastrophic risks based on risk profiling is proposed. The approach assumes, for some selected catastrophic scenarios, to simulate their consequences (damage) as functions of control parameters and to impose expert constraints on acceptable levels of relative losses in such scenarios. The approach is illustrated by a number of one-stage decision-making problems reduced to mixed linear-programming problems.

Keywords

catastrophic risk catastrophic flood risk profiling risk measures risk functions indifference curves decision-making investments risk zoning insurance 

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Copyright information

© Springer Science+Business Media, Inc. 2006

Authors and Affiliations

  • V. I. Norkin
    • 1
  1. 1.V. M. Glushkov Institute of CyberneticsNational Academy of Sciences of UkraineKyivUkraine

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