Journal Article A Three (or More) Factor Model of Growth with Induced Innovation Get access A. A. Brewer A. A. Brewer University of Bristol Search for other works by this author on: Oxford Academic Google Scholar The Review of Economic Studies, Volume 42, Issue 2, April 1975, Pages 285–292, https://doi.org/10.2307/2296536 Published: 01 April 1975

Altman, 1968; Beaver, 1966; Daniel, 1969; Deakin, 1972; and Horrigan, 1966 have researched the usefulness of financial ratio information.' These authors defined usefulness as predictive ability.2 Predictive ability was measured by determining the statistical predictive relationship between financial ratios and some specified real world phenomenon, e.g., bankruptcy (Altman), business failure (Beaver, Daniel and Deakin) and long-term credit standing (Horrigan). In contrast, this study works with experienced bank personnel using financial ratios to make subjective predictions of bankruptcy.3 This research views bank credit evaluation as a probabilistic information processing problem. Bayes' theorem is used as a model of human information processing for this problem. The set of uncertain events consists of bankruptcy and nonbankruptcy. The items of information are financial ratios.4

Robert A. Haugen, A. James Heins, Risk and the Rate of Return on Financial Assets: Some Old Wine in New Bottles, The Journal of Financial and Quantitative Analysis, Vol. 10, No. 5 (Dec., 1975), pp. 775-784

Journal Article Non-existence of Equilibrium for the Two-dimensional Three-firms Location Problem Get access A. Shared A. Shared Nuffield College, Oxford Search for other works by this author on: Oxford Academic Google Scholar The Review of Economic Studies, Volume 42, Issue 1, January 1975, Pages 51–56, https://doi.org/10.2307/2296818 Published: 01 January 1975

Journal Article On Stochastic Models of Size Distributions Get access A. F. Shorrocks A. F. Shorrocks London School of Economics Search for other works by this author on: Oxford Academic Google Scholar The Review of Economic Studies, Volume 42, Issue 4, October 1975, Pages 631–641, https://doi.org/10.2307/2296800 Published: 01 October 1975

Journal Article Testing Theories of Discount House Portfolio Selection Get access A. S. Courakis A. S. Courakis Oxford University Search for other works by this author on: Oxford Academic Google Scholar The Review of Economic Studies, Volume 42, Issue 4, October 1975, Pages 643–648, https://doi.org/10.2307/2296801 Published: 01 October 1975

Auditing, Substantive test, Sampling, Sampling plan

Suppose that the coefficients of an input-output matrix, A, are random variables but that we have ascertained their expected values, EA. What will be the relation of the Leontief inverse of EA, (I EA) ', to the expected value of the inverse, E(I A) ? Will one or the other be uniformly greater? We will show that if all coefficients of A are independent, then the expected value of the inverse is uniformly greater than or equal to the inverse of the expected value. If, on the other hand, the column and row sums of the coefficient matrix are fixed, and smaller than one, so that the variables are not independent, then, in the two-by-two case, the opposite is true of the off-diagonal elements.