- Dynamic Programs; Bellman’s Equation; An example.
Author: appliedprobability
Ito’s Formula: a heuristic derivation
- A heuristic look at the stochastic integral.
- heuristic derivation of Itô’s formula.
Utility Theory
- Utility functions and their equivalence
- Risk Aversion.
- CRRA utility and its equivalence with Iso-elastic utilities.
Basic Probability Bounds
- Markov’s Inequality; Chebychev’s Inequality; Chernoff’s Bound.
- Bounds for the Poisson Distribution.
