tag:blogger.com,1999:blog-4509736829271344872.post2029936421534653981..comments2024-03-02T03:24:43.931-05:00Comments on Advanced Analytic Techniques: The Problems with Monte Carlo SimulationKristan J. Wheatonhttp://www.blogger.com/profile/02566135545863154089noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-4509736829271344872.post-57240572351705057342017-11-13T23:50:55.439-05:002017-11-13T23:50:55.439-05:00The author mentions "if a number is derived f...The author mentions "if a number is derived from unrealistic assumptions, then they possess no real value." For this reason, I could see that this method still relies to a degree on subject matter expertise and therefore, is best used in conjunction with other techniques.Anonymoushttps://www.blogger.com/profile/08345207198506122390noreply@blogger.comtag:blogger.com,1999:blog-4509736829271344872.post-56597759427161099272017-11-13T21:24:51.014-05:002017-11-13T21:24:51.014-05:00It does seem that Monte Carlo simulations presume ...It does seem that Monte Carlo simulations presume that all distributions are normal and correlations are zero, this in turn does not connect interrelationships among multiple variables contained in historical data, essentially not portrying real-world complexities. <br />Anonymoushttps://www.blogger.com/profile/08239527080365249605noreply@blogger.comtag:blogger.com,1999:blog-4509736829271344872.post-57020406354539547342017-11-12T22:00:52.671-05:002017-11-12T22:00:52.671-05:00It appears that majority of the Monte Carlo Simula...It appears that majority of the Monte Carlo Simulation (MCS) problems emanate from its application, not the process. As a result of the repetitive nature of the process, inappropriate application of MCS may produce results that are not close to real world scenarios, which can render MCS ineffective and ridden with problems. Oddi Onyemenemhttps://www.blogger.com/profile/10637331611454187250noreply@blogger.com