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Focusing on what actuaries need in practice, this introductory
account provides readers with essential tools for handling complex
problems and explains how simulation models can be created, used
and re-used (with modifications) in related situations. The book
begins by outlining the basic tools of modelling and simulation,
including a discussion of the Monte Carlo method and its use. Part
II deals with general insurance and Part III with life insurance
and financial risk. Algorithms that can be implemented on any
programming platform are spread throughout and a program library
written in R is included. Numerous figures and experiments with
R-code illustrate the text. The author's non-technical approach is
ideal for graduate students, the only prerequisites being
introductory courses in calculus and linear algebra, probability
and statistics. The book will also be of value to actuaries and
other analysts in the industry looking to update their skills.
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