J. Tim Query

A Real-Options Approach to Post-Hurricane Loss Valuation of Damage Property: Rebuild or Repair?

In this paper, we investigate the rebuild or repair decision that property owners face after damages caused by catastrophic hurricanes such as Katrina in New Orleans. In particular, we consider how the degree of risk aversion and uncertainty affect the decision-making process. A theoretical model is developed using the real-options framework of Dixit and Pindyck (1994). According to the model, the decision to rebuild a property is reached much later when there is a high degree of uncertainty over future social costs and a high discount rate. We demonstrate these effects using simulations with actual numbers from Hurricane Katrina.

Fulfilling Entrepreneurial Curriculum Needs in Rural Communities

ABSTRACT This study examined the business curriculum offered by schools in the third largest community college system in the nation. The objective was to determine the degree that entrepreneurial-oriented curricula meet the needs of young people interested in starting their own business. By analyzing the business curriculum of community colleges throughout the state of Illinois, the study provides an unbiased evaluation of the course offerings. A comparison of rural/urban disparities was also conducted.

Actuarial science advisory boards: A survey of current and best practices

Abstract This research uses a survey mechanism to query actuarial science programs as to the usage of industry advisory boards at such programs in the U.S. The study’s methodology employs a questionnaire to examine the formation, governance, and utilization of such entities. The data collected identify the most widespread purposes and composition of industry advisory boards. The highest rated outputs of board members, in order, are addressing curriculum issues, guest speaker suggestions, and interactions with students via mock interviews and student presentations. A comparison of results to a similar survey of advisory boards at risk management and insurance programs is conducted as well.