Burgin, Mark; Meissner, Gunter - In: Review of Economics & Finance 2 (2012) November, pp. 1-13
found that negative, as well as larger than 1 probabilities could be a useful tool in making financial modeling more exact … and flexible. Here we show how larger than 1 probabilities could be handy for financial modeling. First, we define and … mathematically rigorously derive the properties of larger than 1 probabilities based on their frequency interpretation. We call these …