Author(s): Michael B. MillerDifference between 2nd and 1st editions Side by side comparison of table of contents helps to figure out the most significant changes. |

**Key differences between 2nd and 1st editions**

- Time lapse between current and previous editions: 1 year (2013 vs 2012).
- The First edition of Miller's statistics textbook was published in 2012.
**Chapter 4:**New discussions on Triangular and Beta Distributions, which can be used to model default rates and recovery rates.- New
**Chapter 5**"Multivariate Distributions and Copulas" investigates concepts for measuring the risk of portfolios, including joint distributions and copulas. - Section "Multivariate Distributions" covers discrete distributions, continuous joint distributions, visualization of probability density function in three dimensions, correlation, and marginal distributions.
- Section "Copulas" covers definition of copula (a multivariate probability distribution), graphing copulas, how copulas can be used in Monte Carlo simulations, and parameterization of copulas.
- New
**Chapter 6**"Bayesian Analysis" covers: - Bayes' theorem -- the foundation of Bayesian analysis.
- Comparison of Bayes vs Frequentists approach - which approach is better?
- Many-State problems -- extension of Bayesian analysis to any number of possible outcomes.
- Continuous distributions
- Bayesian networks -- representation of the causal relationships between different random variables.
- Comparison of Bayesian networks vs correlation matrices.
- New Appendix F "Copulas" summarizes the properties of various named copulas.

Mathematics and Statistics for Financial Risk Management

Published by: Wiley, December 12, 2013

Book Store | Price |
---|---|

Available |

Published by: Wiley, December 31, 2013

Book Store | New | Used | Rent |
---|---|---|---|

$55.09 |
From: $54.46 | ||

$64.98 |
$94.50 due: Jun 04 $89.25 due: Mar 14 $84.00 due: Feb 12 |

Mathematics and Statistics for Financial Risk Management

Published by: Wiley, March 06, 2012

Book Store | New | Used | Rent |
---|---|---|---|

$110.46 |
From: $47.83 |

**Saving advice**

- Used 2nd edition can save you
**$0.63**over the new one. -
Used previous 1st edition costs
**$6.63**less than the used 2nd.