NUMERICAL CHARACTERISTICS OF PARETO DISTRIBUTION UNDER UNCERTAINTY

Authors : Turkan ERBAY DALKİLİC, Tulay KESEMEN, Fatih TANK

Pages : 66-72

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Publication Date : 2013-07-01

Article Type : Research Paper

Abstract :In this study, we consider the Pareto distribution where the value of k parameter is uncertain. Some statistical quantities such as expected value, variance, skewness and kurtosis of the pareto distribution are derived by using fuzzy numbers. In addition to the these numerical characteristics, a numerical study is provided. Furthermore, large claims data from Society of Actuaries insert ignore into journalissuearticles values(SOA); Group Medical insurance is examined and k parameter of Pareto distribution is obtained by using the maximum likelihood estimation method and the numerical characteristics of this distribution are calculated under uncertainty
Keywords : Pareto distribution, uncertain probability, medical insurance