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TARGET RETURNS WITHIN RISK PROGRAMMING MODELS: A MULTI‐OBJECTIVE APPROACH
Author(s) -
Berbel J.
Publication year - 1988
Publication title -
journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.157
H-Index - 61
eISSN - 1477-9552
pISSN - 0021-857X
DOI - 10.1111/j.1477-9552.1988.tb00582.x
Subject(s) - simple (philosophy) , linear programming , computer science , standard deviation , mathematical optimization , absolute deviation , goal programming , mathematics , statistics , philosophy , epistemology
An approach to deal with risk in agricultural planning with a safety‐first model is presented. The approach, named mean‐partial absolute deviation (mean‐PAD), is aimed at improving existing safety‐first methods by combining an accurate estimation of the probability of failure with multiobjective programming. The logic of the method is explained by a simple example. Although the mean‐PAD approach is a multiobjective technique by nature, it can be made operational by using common linear programming codes.