Are they both calculated as (deaths while x)/(central rate of mortality for age label x) ?

Do they both apply to the same age range?

Login

0 votes

\( \mu x\) is a force of mortality. It is a rate.

\(mx \) is a weighted average of this force, weighted by population. If the size of the population is larger, \( \mu x\) has a larger population on which to act. As the population decreases from the resulting deaths, \( \mu x\) has a smaller population on which to act.

These two measure are equivalent if \( \mu x\) is constant for age label \(x \). In the estimation procedure, this is assumed and as such the estimations are the same.

- All categories
- BUS 1003H - Introduction to Financial Risk (33)
- BUS 2016H - Financial Mathematics (44)
- BUS 3018F - Models (43)
- BUS 3024S - Contingencies (47)
- BUS 4028F - Financial Economics (12)
- BUS 4027W - Actuarial Risk Management (20)
- BUS 4029H - Research Project (4)
- Mphil (1)
- Calculus and Pure Mathematics (3)
- Statistics (10)

...

The definitions you met in the first part of the course for ux and mx remain the same.