Simulation and Risk Analysis
Abstract
This chapter introduces what Simulation is, more specifically the Monte Carlo method, which has been used in several fields of knowledge involving decision-making problems that present risks and uncertainties. The Monte Carlo method uses the generation of random numbers to assign values to variables. Through numerical experiments, it is possible to have a better understanding of the behavior of the system under analysis, as well as the forecasting of future scenarios.
Keywords
Simulation of systems; Monte Carlo method; Generation of random numbers; Analysis of risks and uncertainties
Taking the risk of failure, of disappointments, of disillusionments, but never giving up the search for love. ...
Get Data Science for Business and Decision Making now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
