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This paper presents an extension of the application of the concept of entropy to annuity costs. Keyfitz (1985) introduced the concept of entropy, and analysed this in the context of continuous changes in life expectancy. He showed that a higher level of entropy indicates that the life expectancy...
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The approach to the determination of damages for loss of future earnings in Britain is by means of a simple formula in which an annual loss (the multiplicand) is multiplied by a discounted work life expectancy (WLE – the multiplier) to produce a lump sum, the capitalised value of which is...
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