Monte Carlo #2
Description
Hello Derek,
I've read the chapter on Economics and noticed you're planning to add something on Monte Carlo. Recently I gave a short lecture on financial modelling to Engineering students. Here are the slides:
https://minorsmart.github.io/presentaties/hhs
The interesting bit for you would be the second part. I have included notebooks with code examples.
I would also suggest to include the notion of real options in this chapter which could be modelled using MC Simulation.
Kind regards,
Witek ten Hove