Construct · 1 fields · 1 citations

Borch's theorem: a standalone construct

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Borch'stheorem1 CONSTRUCTBorch's theoremBORCH · ACTUARIAL SCIENCE

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Actuarial science

the result that in a Pareto-optimal reinsurance market each insurer's payment depends only on the total pooled losses, not on its own.

In actuarial science, Borch's theorem refers to the result that in a Pareto-optimal reinsurance market each insurer's payment depends only on the total pooled losses, not on its own. This meaning comes from Borch (1962) in Econometrica.[1]

Unit
Recovery means
Measured by

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Nearby constructs

market3 fields · 5 citationsjingle · one word, three constructs

References

  1. Borch, K. (1962). Equilibrium in a Reinsurance Market. Econometrica, 30(3), 424. https://doi.org/10.2307/1909887

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