This paper deals with ruin capital uα,t(c∣λ,μ) in the classical Lundberg model of risk. It is defined as the initial capital needed to keep the probability of ruin within finite time t equal to a predefined value α. Considered as a decreasing function of premium rate c, the ruin capital is...

In Malinovskii (2012), level premium rate and level initial capital were used to construct solvent and equitable strategies in a multi-period game model of risk. Focused there was the level initial capital regarded as a function of the annual premium rate. With the prospective goal to study...

Ruin capital is a function of premium rate set to render the probability of ruin within finite time equal to a given value. The analytical studies of this function in the classical Lundberg model of risk with exponential claim sizes done in Malinovskii (2014) have shown that the ruin capital’s...

type="main" xml:lang="en" <title type="main">Abstract</title> <p>This article addresses the fundamental observation that aggressive newcom- ers seeking greater market share trigger the industry response of reducing rates that may gradually fall below marginal cost. In this study, the concept of reflexivity as connection...</p>