What Is a Major Drawback to Value-At-Risk Calculations

question 25

Essay

What is a major drawback to value-at-risk calculations?

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Definitions:

Colonization

The act of establishing control over indigenous peoples and their lands by foreign powers or states, often involving settlement and exploitation.

Foreign Power

Typically refers to a country or an entity that has influence, control, or authority outside of its own borders.

Plague

An infectious disease that can cause high mortality rates and have significant impacts on populations, historically and in modern times.

Indigenous Population

People who are the original inhabitants of a region, possessing distinct cultural, linguistic, and historical traditions, before the colonization or formation of a state boundary.