Mitigation of Targeted and Non-Targeted Covert Attacks as a Timing Game

Size: px
Start display at page:

Download "Mitigation of Targeted and Non-Targeted Covert Attacks as a Timing Game"

Transcription

1 Mitigation of Targeted and Non-Targeted Covert Attacks as a Timing Game Aron Laszka 1, Benjamin Johnson 2, and Jens Grosskags 3 1 Department of Networked Systems and Services, Budapest University of Technoogy and Economics, Hungary 2 Department of Mathematics, University of Caifornia, Berkeey, USA 3 Coege of Information Sciences and Technoogy, Pennsyvania State University, USA Abstract. We consider a strategic game in which a defender wants to maintain contro over a resource that is subject to both targeted and nontargeted covert attacks. Because the attacks are covert, the defender must choose to secure the resource in rea time without knowing who contros it. Each move by the defender to secure the resource has a one-time cost and these defending moves are not covert, so that a targeted attacker may time her attacks based on the defender s moves. The time between when a targeted attack starts and when it succeeds is given by an exponentiay distributed random variabe with a known rate. Non-targeted attackers are modeed together as a singe attacker whose attacks arrive foowing a Poisson process. We find that in this regime, the optima moving strategy for the defender is a periodic strategy, so that the time intervas between consecutive moves are constant. Keywords: Game Theory, Computer Security, Games of Timing, Covert Compromise, Targeted Attacks, Non-Targeted Attacks 1 Introduction A growing trend in computer security is the prevaence of continuous covert attacks on networked resources. In contrast to one-time attacks with immediate benefit, such as initiating a wire transfer from a compromised bank account, a covert attack seeks to maintain contro of a resource whie keeping the compromise a secret. This type of attack is ubiquitous in the formation of botnets, as individua computer owners rarey know that their computer is a botnet member. Routers that are used to conduct man-in-the-midde attacks are aso typicay coverty compromised; and when web servers are used to compromise cient s computers, the initia infection is typicay covert. In ight of the prevaence of covert attacks, it behooves the user to consider what mitigation strategies can be taken to minimize the osses resuting from such attacks. Mitigation strategies incude resetting passwords, changing private keys, re-instaing servers, or re-instantiating virtua servers. Such strategies have notabe characteristics in that they are often effective at securing the resource,

2 2 Aron Laszka, Benjamin Johnson, and Jens Grosskags but they revea itte about past attacks or compromises. For exampe, if a server is re-instaed, knowedge of when the server was compromised may be ost. Simiary, resetting a password does not revea any information about the integrity of the previous password. A second dimension of the attack space is the extent to which an attack is targeted or customized for a particuar user [4,2]. DoS attacks and incidents of cyber-espionage are exampes of targeted attacks. Typica exampes of nontargeted attacks incude spam and phishing. The dichotomy between targeted and non-targeted attacks is expained by Cormac Herey as a consequence of economic considerations of the attacker [4]. In that framework, an outsized number of users are both susceptibe to and subject to scaabe attacks which compromise their computer systems, but most are never targeted simpy because they cannot be distinguished from ow vaue targets. See Tabe 1 for a comparison between targeted and non-targeted attacks. Tabe 1: Comparison of Targeted and Non-Targeted Attacks Targeted Non-Targeted Number of attackers ow high Number of targets ow high Effort required for each attack high ow Success probabiity of each attack high ow Whether or not an attack is targeted is aso important for the defender, because targeted and non-targeted attacks do different types of damage. For exampe, targeted attackers might read a of an organization s secret e-mais, causing economic damages of one type, whie a non-targeted attacker might use the same compromised machine to send out spam, causing reputation oss, or machine backisting, or another separate type of damage. This dichotomy suggests that damages resuting from targeted and non-targeted attacks shoud be modeed additivey. The presence of both targeted and non-targeted covert attacks presents an interesting diemma for a common user to choose a mitigation strategy against covert attacks. Strategies which are optima against non-targeted covert attacks may not be the best choice against targeted attacks. At the same time, mitigation strategies against targeted attacks may not be economicay cost-effective against ony non-targeted attackers. This paper fis the research gap induced by the aforementioned dichotomy, by considering the strategy spaces of users who may be subject to both targeted and non-targeted attacks. In our game, a defender must vie for a contested resource that is subject to the risk of compromise from both targeted and non-

3 Mitigation of Targeted and Non-Targeted Covert Attacks 3 targeted covert attacks. We expore the strategy space to find good mitigation strategies against this combination. 2 Reated Work 2.1 Games of timing Cybersecurity economics has been concerned with how to reduce the impact of the actions of financiay or poiticay motivated adversaries who threaten computing resources and their users. Previous research in this domain has primariy focused on the choice between different canonica actions to prevent, deter or otherwise mitigate harm e.g., [3,5,6]. However, being successfu in dynamic environments shifts the focus from seecting the most suitabe option from a poo of aternatives to a decision probem of when to act to get an advantage over an opponent. For exampe, in tactica security scenarios it is important to jump to action at the right time to avoid a oss of money or even human ife see, for exampe, timing of interventions in internationa conficts. To understand these scenarios, so-caed games of timing have been studied with the toos of non-cooperative game theory since the cod war era see, for exampe, [11,14]. For a detaied survey and summary of the theoretica contributions in this area, we refer the interested reader to [10]. 2.2 FipIt: Modeing Targeted Attacks In response to recent high-profie steathy attacks, researchers at RSA proposed the FipIt mode [13] to study such scenarios. In the origina mode, there are two payers, a defender and an attacker, and a resource that they are both interested in maintaining contro of. For each unit of time that a payer is controing the resource, she gains a fixed amount of benefit. Conversey, when a payer is not in contro, she gains no benefit from the resource. At any time instance, either payer may fip the resource to gain contro of it for some cost. Fipping whie in contro does not give the opponent contro of the resource, therefore the payers have to be carefu not to make too many unnecessary fips to keep their costs ow. This game can mode, for exampe, the case of a password-protected account. Benefit is derived from using the account, and fipping the resource is anaogous to the defender resetting the password or the attacker compromising it. In the origina FipIt paper, dominant strategies and equiibria are studied for some simpe cases [13]. Other researchers have worked on extensions [9,7]. For exampe, Laszka et a. extended the FipIt game to the case of mutipe resources. In addition, the usefuness of the FipIt game has been investigated for various appication scenarios [1,13]. In comparison to previous work, the FipIt game is of interest because it combines a number of important decision-making factors [8]. First, it covers aspects of uncertainty about the game status by assuming that moves by the

4 4 Aron Laszka, Benjamin Johnson, and Jens Grosskags payers are steathy. Second, the game is payed in continuous time and asynchronous fashion. Hence, ex-post the game appears to be divided in mutipe periods of uneven ength. Simiary, the number of actions that can be taken by the payers is quasi-unimited if agents have an unrestricted budget. Third, action have a cost. That is, payers do not ony vaue the time in which they have possession of the board, but they aso have to baance these benefits with the cost of gaining possession of the board. The origina FipIt game has aso been studied in an experiment with human subjects [8]. In that paper, the experimenters matched human participants with computerized opponents in severa fast-paced rounds of the FipIt game. The resuts indicate that participant performance improves over time; but that it is dependent on age, gender, and a number of individua difference variabes. The researchers aso show that human participants generay perform better when they have more information about the strategy of the computerized payer; i.e., they are abe to make use of such game-reevant information. This experimenta work was extended to aso incude different visua presentation modaities for the avaiabe feedback during the experiment [12]. 3 Mode Definition We mode the covert compromise scenario as a non-zero-sum game. The payer who is the rightfu owner of the resource is caed the defender, whie the other payers are caed the attackers. The game starts at time t = 0 with the defender in contro of the resource, and it is payed indefinitey as t. We assume that time is continuous. We et D, A, and N denote the defender, the targeted attacker, and the nontargeted attackers respectivey. At any time instance, payer i may make a move, which costs her C i. When the defender makes a move, the resource immediatey becomes uncompromised for every attacker. When the targeted attacker makes a move, she starts her attack, which takes some random amount of time. If the defender makes a move whie an attack is in progress, the attack fais. We assume that the time required by the attack foows an exponentia distribution. Formay, the probabiity that the attack has successfuy finished in a amount of time is 1 e a, where is the rate parameter of the targeted attacker s attack time. The attackers moves are steathy; i.e., the defender does not know when the resource got compromised or if it is compromised at a. On the other hand, the defender s moves are non-steathy. In other words, the attackers earn immediatey when the defender has made a move. The cost rate for payer i up to time t, denoted by c i t, is the number of moves per unit of time, made by payer i up to time t, mutipied by the cost per move C i for payer i. For attacker i {A, N}, the benefit rate b i t up to time t is the fraction of time up to t that the resource has been compromised by i, mutipied by B i. Note that if mutipe attackers have compromised the resource, they a receive

5 Mitigation of Targeted and Non-Targeted Covert Attacks 5 benefit unti the defender s next move. For the defender D, the benefit rate b D t up to time t is defined to be i {A,N} b it i.e., what has been ost to the attackers. The reation between the defender s and attackers benefits impies that the game woud be zero-sum if we ony considered the payers benefits. Because our payers payoffs aso consider move costs, our game is not zero-sum. Payer i s payoff is defined as im inf t b it c i t. 1 Tabe 2: List of Symbos C D C A B N move cost for the defender move cost for the targeted attacker benefit received per unit of time for the targeted attacker benefit received per unit of time for the non-targeted attackers rate of the targeted attacker s attack time rate of the non-targeted attacks arriva 3.1 Types of Strategies for the Defender and the Targeted Attacker Adaptive Strategies for Attackers Let T n = {T 0, T 1,..., T n } denote the move times of the defender up to her nth move or in the case of T 0 = 0, the start of the game. The attacker uses an adaptive strategy if she waits for W T n time unti making a move after the defender s nth move or after the start of the game, where W is a non-deterministic function. If the defender makes her n + 1st move before the chosen wait time is up, the attacker chooses a new wait time W T n + 1, which aso considers the new information that is the defender s n + 1st move time. This cass is a simpe representation of a the rationa strategies avaiabe to an attacker, since the function W depends on a the information that the attacker has, and we don t have any constraints on W. Renewa Strategies Payer i uses a renewa strategy if the time intervas between consecutive moves are identicay distributed independent random variabes, whose distribution is given by the cumuative function F Ri. Renewa strategies are we-motivated by the fact that the defender is paying bindy; thus, she has the same information avaiabe after each move. So it makes sense to use a strategy which aways chooses the time unti her next fip according to the same distribution Note that every renewa strategy is a specia case of an adaptive strategy.

6 6 Aron Laszka, Benjamin Johnson, and Jens Grosskags Periodic Strategies Payer i uses a periodic strategy if the time intervas between her consecutive moves are identica. This period is denoted by δ i. Every periodic strategy is a specia case of a renewa strategy. 3.2 Non-Targeted Attacks Suppose that there are N non-targeted attackers. In practice, N is very arge, but the expected number of successfu compromises is finite. As N goes to infinity, the probabiity that a given non-targeted attacker targets the defender approaches zero. Since the non-targeted attackers operate independenty, successfu nontargeted attacks arrive foowing a Poisson process. Furthermore, as the economic decisions of the non-targeted attackers depend on a very arge poo of possibe targets, the defender s effect on the decisions is negigibe. Thus, the non-targeted attackers strategies that is, the attack rate can be considered exogenousy given. We et denote the expected number of arrivas that occur per unit of time; and we mode a the non-targeted attackers together as a singe attacker whose benefit per unit of time is B N. 3.3 Comparison to FipIt Even though our game-theoretic mode is in many ways simiar to FipIt, it differs in three key assumptions. First, we assume that the defender s moves are not steathy. The motivation for this is that an attacker must know whether she is in contro of a resource if she receives benefits from it continuousy. For exampe, if the attacker uses the compromised password of an account to reguary spy on its e-mais, she wi earn of a password reset immediatey the next time she tries to og in. Second, we assume that the targeted attacker s moves are not instantaneous, but take some time. The motivation for this is that an attack requires some time and effort to be carried out in practice. Furthermore, the time required for a successfu attack may vary, which we mode using a random variabe for the attack time. Third, we assume that the defender faces mutipe attackers, not ony a singe one. Moreover, to the authors best knowedge, papers pubished on FipIt so far give anaytica resuts ony on a very restricted set of strategies. In contrast, we competey describe our game s equiibria and give optima defender strategies based on very mid assumptions, which effectivey do not imit the power of payers see the introduction of Section 4. 4 Anaytica Resuts In this section, we give anaytica resuts on the game. We first consider the specia case of a targeted attacker ony i.e., = 0, and then the genera case of both targeted and non-targeted attackers. We start with a discussion on the payers strategies. First, reca that the defender has to pay bindy, which means that she has the same information

7 Mitigation of Targeted and Non-Targeted Covert Attacks 7 avaiabe after each one of her moves. Consequenty, it makes sense for her to choose the time unti her next fip according to the same distribution each time. In other words, a rationa defender can use a renewa strategy. Now, if the defender uses a renewa strategy, the time of her next move depends ony on the time eapsed since her ast move T n, and the times of previous moves incuding T n are irreevant to the future of the game. Therefore, it is reasonabe to assume that the attacker s response strategy to a renewa strategy aso does not depend on T 0, T 1,..., T n. For the remainder of the paper, when the defender pays a renewa strategy, the attacker uses a fixed probabiity distribution given by the density function f W over her wait times for when to begin her attack. Note that it is cear that there aways exists a best response strategy for the attacker of this form against a renewa strategy. Since the attacker aways waits an amount of time that is chosen according to a fixed probabiity distribution after the defender s each move, the amount of time unti the resource woud be successfuy compromised after the defender s move aso foows a fixed probabiity distribution. Let S be the random variabe measuring the time after the defender has moved unti the attacker s attack woud finish. The probabiity density function f S of S can be computed as f S s = s w=0 f W w s w a=0 e a da dw. 2 We et F S denote the cumuative distribution function of S. Since e a > 0 for every a R 0, if there exists an s for which F S s > 0, then F S is stricty increasing on [s,. 4.1 Nash Equiibrium for Targeted Attacker and Renewa Defender Defender s Best Response We begin our anaysis with finding the defender s best response strategy. Lemma 1. Suppose that the attacker uses an adaptive strategy with a fixed probabiity distribution for choosing the time to wait unti starting the attack. Then, not moving is the ony best response if C D = F S F S s ds 3 has no soution for ; a periodic strategy whose period is the unique soution of Equation 3 is the ony best response otherwise. Even though we cannot express the soution of Equation 3 in cosed form, it can be easiy found using numerica methods, as the right hand side is continuous and increasing. 4 Note that the equations presented in the subsequent emmas and theorems of this paper can aso be soved using numerica methods. 4 We show that the right hand side is continuous and increasing in the proof of the emma.

8 8 Aron Laszka, Benjamin Johnson, and Jens Grosskags Proof. When paying a renewa strategy, the defender randomy seects the intervas between her consecutive moves according to the distribution generating the renewa strategy. In a best response, her strategy and, hence, every interva ength in the support of the strategy s distribution has to minimize the defender s oss per unit of time. The defender s expected oss per unit of time for an interva of ength is 1 f S s s ds + C D = B 1 A [F S s s] F S s 1 ds + C D + C D = 1 = F S s ds F S s ds + C D To find the minimizing interva engths if there exists any, we take the derivative of 7 and sove it for equaity with 0 as foows: [ 0 = d ] 1 F S s ds + C D 8 d 0 = 1 2 F S s ds + C D + 1 F S 9 F S s ds + C D =F S 10 C D =F S F S s ds. 11 Suppose that is the east number for which this equation is satisfied. Then > 0, and aso F > 0. This in turn impies that F S is stricty increasing on [, ; and thus aso the right hand side of the above equation is stricty increasing as a function of on [,. Therefore, if there is any soution to the above equation, then it is unique. Furthermore, this vaue of is a minimizing vaue for the expected oss per unit of time as the second derivative at this

9 Mitigation of Targeted and Non-Targeted Covert Attacks 9 minimizing is greater than zero: ] d [ 12 F S s ds + C D + 1 d F S = 2 3 F S s ds + C D F S + = F S + 1 f S 13 F S s ds + C D F S + 1 f S. 14 We care about the vaue of this expression when the first derivative is zero. Using this constraint, we obtain 2 3 F S s ds + C D F S + 1 f S 15 = 2 12 F S s ds + C D + 1 F S + 1 f S 16 = f S > Consequenty, the ony best response is the periodic strategy with the minimizing as the period. On the other hand, if Equation 11 is not satisfiabe for, then the ony best response for the defender is to never move. When, the defender s expected oss per unit of time approaches, which is equa to her oss for never moving. When 0, her expected oss per unit of time goes to infinity due to the ever increasing costs. Consequenty, if the expected oss per unit of time does not have a minimizing, then it is aways greater than. Attacker s Best Response We continue our anaysis with finding the attacker s best response strategy. Lemma 2. Against a defender who uses a periodic strategy with period δ D, never attacking is the ony best response if C A > e δdλa 1 + δ D ; 18 attacking immediatey after the defender moved is the ony best response if C A < e δdλa 1 + δ D ; 19

10 10 Aron Laszka, Benjamin Johnson, and Jens Grosskags both not attacking and attacking immediatey are best responses otherwise. The emma shows that the attacker shoud either attack immediatey or not attack at a, but she shoud never wait to attack. Consequenty, if the attacker uses her best response strategy, the defender can determine the optima period of her strategy soey based on the distribution of A, which is an exponentia distribution with parameter. This observation wi be of key importance for characterizing the game s equiibria. Proof. First, assume that the attacker does attack. Given that the attacker waits w < δ D time before making her move, the expected amount of time she has the resource compromised unti the defender s next move is δd w a=0 e a δ D w ada. 20 It is easy to see that the maximum of this equation is attained for w = 0. Therefore, if the attacker does attack, she attacks immediatey. The expected amount of time she has the resource compromised unti the defender s next move is δd a=0 e a δ D ada 21 = [ 1 e a δ D a ] δ D a=0 δd a=0 = 1 e δ D δd δ D 1 e 0 δ D 0 + }{{}}{{} 0 δd = 1 e λaa da = δ D a=0 0 ] [ e a δd 1 e a 1da 22 a=0 δd a=0 1 e a da 23 = e δ D 1 + δ D. 24 Therefore, if the attacker does attack, her asymptotic benefit rate is and her payoff is δ e D 1 λ + δ D A, 25 δ D δ e D 1 λ + δ D A C A. 26 δ D δ D Thus, when the above vaue is ess than or equa to zero, never attacking is a best-response strategy; when the above vaue is greater than or equa to zero, aways attacking immediatey is a best-response strategy. When the above vaue is equa to zero, the attacker can decide whether to attack immediatey or to not attack at a after each move of the defender.

11 Mitigation of Targeted and Non-Targeted Covert Attacks 11 Equiibrium Based on the above emmas, we can describe a the equiibria of the game if there are any as foows. Theorem 1. Suppose that the defender uses a renewa strategy and the attacker uses an adaptive strategy. Then the game s equiibria can be described as foows. 1. If C D = e λa + 1 e does not have a soution for, then there is a unique equiibrium in which the defender does not move and in which the attacker attacks exacty once at the beginning of the game. 2. If C D = e λa + 1 e does have a soution δ D for, then a if C A + δ D, then there is a unique equiibrium in which the defender pays a periodic strategy with period δ D, and the attacker attacks immediatey after the defender s each move; b if C A > e δ D 1 + δ D, then there is no equiibrium. e δ D 1 In the first case, the attacker is at an overwheming advantage, as the reative cost of defending the resource is prohibitivey high. Consequenty, the defender simpy gives up the game since any effort to gain contro of the resource is not profitabe for her, and the attacker wi have contro of the resource a the time. In the second case, no payer is at an overwheming advantage. Both the defender and the attacker are activey trying to gain contro of the resource, and both succeed from time to time. In the third case, the defender is at an overwheming advantage. However, this does not ead to an equiibrium. If the defender moves with a sufficienty high rate, she makes moving unprofitabe for the attacker. But if the attacker decides not to move, the defender is aso better off not moving, as this decreases her cost. However, once the defender stops moving, it is again profitabe for the attacker to move, which in turn triggers the defender to start moving. Proof. First, we have from Lemma 1 that in any equiibrium, the defender either never moves or uses a periodic strategy. If the defender never moves, then the best strategy for the attacker is to attack immediatey after the game starts. Now, if the defender moves using a periodic strategy, we have from Lemma 2 that the attacker either never attacks or attacks immediatey. This eaves us with two strategies for defender and two strategies for attacker from which a equiibria must be composed. Second, we show that there is no equiibrium in which the attacker never attacks. To see this, suppose that the attacker never attacks. Then the defender s best response is to never move, because this preserves contro of the resource whie minimizing the defender s cost. But if the defender never moves, then it is advantageous for the attacker to compromise the resource immediatey after the start of the game. So this situation is not an equiibrium. Next, we anayze the situation where a defender never moves. In this circumstance, the attacker attacks once and contros the resource for the duration of

12 12 Aron Laszka, Benjamin Johnson, and Jens Grosskags the game. From Lemma 1, we see that this is indeed a unique equiibrium if C D = F S F S s ds 27 = 1 e 1 e s ds 28 = e e 1 29 = e + 1 e 30 does not have a soution in R 0 for. Finay, we consider the scenario where the defender pays a periodic strategy with period δ D. In this case, Lemma 2 gives conditions for the best response of the attacker. Either the attacker never moves or the attacker attacks immediatey. Since we know that there is no equiibrium in which an attacker never moves, we concern ourseves in the theorem ony with the circumstances under which the attacker has a reason to attack immediatey. From Lemma 2, the condition for this is C A e δ D 1 + δ D. 4.2 Equiibrium for Both Targeted and Non-Targeted Attackers Defender s Best Response Again, we begin our anaysis by finding the defender s best response strategy. Lemma 3. Suppose that the non-targeted attacks arrive according to a Poisson process with rate, and the targeted attacker uses an adaptive strategy with a fixed wait time distribution given by the cumuative function F S. Then, not moving is the ony best response if C D = F S F S s ds + B N e + 1 e 31 has no soution for ; a periodic strategy whose period is the soution to Equation 31 is the ony best response otherwise. Proof. The outine of the proof is simiar to that of Lemma 1.

13 Mitigation of Targeted and Non-Targeted Covert Attacks 13 The defender s expected oss per unit of time for an interva of ength is 1 = 1 = 1 f S s s ds + B N [F S s s] a=0 F S s ds F S s ds + B N e 1 a e a da + C D + B N e C D C D To find the minimizing interva engths if there exists any, we take the derivative of 34 and sove it for equaity with 0 as foows: [ 0 = d 1 e ] 1 F S s ds + B N + + C D d 0 = 1 2 F S s ds F S e e B N + C D C D = F S F S s ds + B N e + 1 e From the proof of Lemma 1, we have that the first term of the right hand side is monotonicay increasing. Furthermore, the second term is stricty increasing, as its derivate is e > 0. Thus, the right hand side is stricty increasing, which impies that if there is an for which the equaity hods, it has to be unique. Furthermore, this is a minimizing vaue as the second derivative is greater than zero: [ d 12 F S s ds F S d ] e e B N + C D = F S s ds 2F S + 2 f S + B N e λ 2 N e C D

14 14 Aron Laszka, Benjamin Johnson, and Jens Grosskags We care about the vaue of this expression when the first derivative is zero. Using this constraint, we obtain F S s ds 2F S + 2 f S e λ 2 N + B e + 2 N + 2C D 40 = 2 F S s ds F S f S + B N e + 1 = 2 + B N e e C D BA f S + B N e > Consequenty, the ony best response is the periodic strategy with the minimizing as the period. On the other hand, if Equation 11 is not satisfiabe for, then the ony best response for the defender is to never move. When, the defender s expected oss per unit of time approaches + B N, which is equa to her oss for never moving. When 0, her expected oss per unit of time goes to infinity due to the ever increasing costs. Therefore, if there is no minimizing, then the expected oss per unit of time is aways greater than + B N. Equiibrium Since the targeted attacker s payoff and, consequenty, best response are not directy affected by the presence of non-targeted attackers, we can use Lemma 2 and the above emma to describe the equiibria of the game. Theorem 2. Suppose that the defender uses a renewa strategy, the targeted attacker uses an adaptive strategy, and the non-targeted attacks arrive according to a Poisson process with rate. Then the game s equiibria can be described as foows. 1. If C D = e + 1 e +B N e + 1 e does not have a soution for, then there is a unique equiibrium in which the defender does not move and in which the attacker attacks exacty once at the beginning of the game. 2. If C D = e + 1 e + B N e + 1 e does have a soution δ D for, then: a If C A e δ D 1 + δ D, then there is a unique equiibrium in which the defender pays a periodic strategy with period δ D, and the targeted attacker moves immediatey after the defender s each move. b If C A > e δ D 1 + δ D, then

15 Mitigation of Targeted and Non-Targeted Covert Attacks 15 if C D = B N e + 1 e C A e δ D 1 has a soution δ D for, and + δ D, then there is a unique equiibrium in which the defender pays a periodic strategy with period δ D and the targeted attacker never moves; otherwise, there is no equiibrium. By comparing the equation determining the defender s strategy in the theorem above to the equation in Theorem 1, we see that the parameter vaues and C D for which there is a soution is arger in the theorem above. Thus, the defender is more ikey to move instead of giving it up when there is a threat of non-targeted attacks. Proof. Cases 1. and 2. a foow from Lemma 2 and Lemma 3 using the argument as the proof of Theorem 1. In Case 2. b, there coud be no equiibrium when the defender faced ony a targeted attacker Theorem 1, since the defender had no incentives to move if the targeted attacker did not move. However, when there are non-targeted attacker present as we, the defender moving periodicay and the targeted attacker never moving can be an equiibrium. The necessary and sufficient conditions for this are that moving periodicay is a best response for the defender against non-targeted attackers ony the existence of δ D and that never attacking is a best-response for the targeted attacker against this period δ D. 5 Numerica Iustrations In this section, we present numerica resuts on our game. First, in Figure 1, we study the effects of varying the vaue of the resource, that is, the unit benefit received by the targeted attacker. Figure 1a shows both payers payoffs for various vaues of the defender s periods for the same setup are shown by Figure 1b. The figure shows that the defender s payoff is stricty decreasing, which is not surprising: the more vauabe the resource is, the higher the cost of security is for the defender. The attacker s payoff, on the other hand, starts growing ineary, but then suffers a sharp drop, and finay converges to a finite positive vaue. For ower vaues < 1, the defender does not protect the resource, as it is not vauabe enough to defend. Accordingy, Figure 1b shows no period for this region. In this case, the attacker s payoff is equa to simpy the vaue of the resource. However, once the vaue of the resource reaches 1, the defender starts protecting it. At this point, the attacker s payoff drops as she no onger has the resource compromised a the time. For higher vaues, the defender baances between osses due to compromise and moving costs, which means that the time the resource is compromised decreases steadiy as its vaue increases. In Figure 2, we study the effects of varying the defender s move cost C D. Figure 2a shows both payers payoffs for various vaues of C D the defender s periods for the same setup are shown by Figure 2b. The figure shows that the

16 16 Aron Laszka, Benjamin Johnson, and Jens Grosskags a The defender s and the targeted attacker s payoffs soid and dashed ines, respectivey as a function of b The defender s optima period as a function of. Fig. 1: The effects of varying the unit benefit received by the targeted attacker C D a The defender s and the targeted attacker s payoffs soid and dashed ines, respectivey as a function of C D C D b The defender s optima period as a function of C D. Fig. 2: The effects of varying the defender s move cost C D. defender s payoff is decreasing, whie the attacker s payoff is increasing, which is again not surprising: the more costy it is to defend the resource, the greater the attacker s advantage is. For ower costs, no payer is at an overwheming advantage, as both payers try to contro the resource and succeed from time to time. As the cost increases, the defender s payoff steadiy decreases, whie the attacker s payoff steadiy increases. For higher costs, the attacker is at an overwheming advantage. In this case, the defender never moves, whie the attacker moves once. Hence, their payoffs are 1 and 1, respectivey.

17 6 Concusions Mitigation of Targeted and Non-Targeted Covert Attacks 17 Targeted and non-targeted attacks are born of different motivations and have different types of consequences. In this paper, we modeed a regime in which a defender must vie for a contested resource against both targeted and nontargeted covert attacks. As a principa resut, we found that the most effective strategy against both types of attacks and aso against their combination is the periodic strategy. This resut can be surprising considering the simpicity of this strategy, but it aso serves as a theoretica justification of the periodic password and cryptographic key renewa practices. Furthermore, this contradicts the esson earned from the FipIt mode [13], which suggests that a defender paying against an adaptive attacker shoud use an unpredictabe strategy. We aso found that a defender is more ikey to stay in pay and bear the costs of periodic risk mitigation if she is threatened by non-targeted attacks. Whie this resut seems very intuitive, it is not obvious, as we aso demonstrated that a very high eve of either threat type can force the defender to abandon a hope and stop moving. Our work can be extended in mutipe directions. First, even though the exponentia attack time distribution can be we-motivated for a number of resources, it woud be worthwhie to extend our mode to genera distributions with some mid assumptions ony. Second, our mode focuses on medium-profie targets that are susceptibe to both targeted and non-targeted attacks, but it coud be easiy extended to a broader range by having a susceptibiity probabiity for each type. Acknowedgements We gratefuy acknowedge the support of the Penn State Institute for Cyber- Science. We aso thank the reviewers for their comments on an earier draft of the paper. References 1. Kevin Bowers, Marten Dijk, Robert Griffin, Ari Jues, Aina Oprea, Ronad Rivest, and Nikos Triandopouos. Defending against the unknown enemy: Appying FipIt to system security. In Jens Grosskags and Jean Warand, editors, Decision and Game Theory for Security, voume 7638 of Lecture Notes in Computer Science, pages Springer, Eoghan Casey. Determining intent - opportunistic vs targeted attacks. Computer Fraud & Security, 20034:8 11, Jens Grosskags, Nicoas Christin, and John Chuang. Secure or insure? A gametheoretic anaysis of information security games. In Proceedings of the 17th Internationa Word Wide Web Conference WWW, pages , 2008.

18 18 Aron Laszka, Benjamin Johnson, and Jens Grosskags 4. Cormac Herey. The pight of the targeted attacker in a word of scae. In Proceedings of the 9th Workshop on the Economics of Information Security WEIS, Benjamin Johnson, Rainer Böhme, and Jens Grosskags. Security games with market insurance. In John Baras, Jonathan Katz, and Eitan Atman, editors, Decision and Game Theory for Security, voume 7037 of Lecture Notes in Computer Science, pages Springer, Aron Laszka, Mark Feegyhazi, and Levente Buttyán. A survey of interdependent security games. Technica Report CRYSYS-TR , CrySyS Lab, Budapest University of Technoogy and Economics, Nov Aron Laszka, Gabor Horvath, Mark Feegyhazi, and Levente Buttyan. FipThem: Modeing targeted attacks with FipIt for mutipe resources. Technica report, Budapest University of Technoogy and Economics, Aan Nochenson and Jens Grosskags. A behaviora investigation of the FipIt game. In Proceedings of the 12th Workshop on the Economics of Information Security WEIS, Viet Pham and Caros Cid. Are we compromised? Modeing security assessment games. In Jens Grosskags and Jean Warand, editors, Decision and Game Theory for Security, voume 7638 of Lecture Notes in Computer Science, pages Springer, Tadeusz Radzik. Resuts and probems in games of timing. Lecture Notes- Monograph Series, Statistics, Probabiity and Game Theory: Papers in Honor of David Backwe, 30: , Tadeusz Radzik and Krzysztof Orowski. A mixed game of timing: Investigation of strategies. Zastosowania Matematyki, 173: , David Reitter, Jens Grosskags, and Aan Nochenson. Risk-seeking in a continuous game of timing. In Proceedings of the 13th Internationa Conference on Cognitive Modeing ICCM, pages , Marten van Dijk, Ari Jues, Aina Oprea, and Ronad Rivest. FipIt: The game of steathy takeover. Journa of Cryptoogy, 26: , October Vitaiy Zhadan. Noisy dues with arbitrary accuracy functions. Issedovanye Operacity, 5: , 1976.

f (tl) <tf(l) for all L and t>1. + u 0 [p (l ) α wl ] pα (l ) α 1 w =0 l =

f (tl) <tf(l) for all L and t>1. + u 0 [p (l ) α wl ] pα (l ) α 1 w =0 l = Econ 101A Midterm Th November 006. You have approximatey 1 hour and 0 minutes to answer the questions in the midterm. I wi coect the exams at 11.00 sharp. Show your work, and good uck! Probem 1. Profit

More information

Preparing Cash Budgets

Preparing Cash Budgets Preparing Cash Budgets John Ogivie, author of the CIMA Study System Finance, gives some usefu tips on this popuar examination topic. The management of cash resources hods a centra position in the area

More information

Finance Practice Midterm #2 Solutions. 1) Consider the following production function. Suppose that capital is fixed at 1.

Finance Practice Midterm #2 Solutions. 1) Consider the following production function. Suppose that capital is fixed at 1. Finance 00 Practice Midterm # Soutions ) Consider the foowing production function. Suppose that capita is fied at. Q K. L.05L For what vaues of Q is margina cost increasing? For what vaues of Q is margina

More information

A guide to your with-profits investment and how we manage our With-Profit Fund

A guide to your with-profits investment and how we manage our With-Profit Fund Important information A guide to your with-profits investment and how we manage our With-Profit Fund For customers investing through pension pans. Contents This guide is important as it aims to answer

More information

A guide to your with-profits investment and how we manage our With-Profit Fund

A guide to your with-profits investment and how we manage our With-Profit Fund Important information A guide to your with-profits investment and how we manage our With-Profit Fund For customers investing through an Aviva investment bond. Contents This guide is important as it aims

More information

Variance Reduction Through Multilevel Monte Carlo Path Calculations

Variance Reduction Through Multilevel Monte Carlo Path Calculations Variance Reduction Through Mutieve Monte Caro Path Cacuations Mike Gies gies@comab.ox.ac.uk Oxford University Computing Laboratory Mutieve Monte Caro p. 1/30 Mutigrid A powerfu technique for soving PDE

More information

arxiv: v2 [math.pr] 22 Dec 2015

arxiv: v2 [math.pr] 22 Dec 2015 Mean-fied Dynamics of Load-Baancing Networks with Genera Service Distributions Reza Aghajani 1, Xingjie Li 2, and Kavita Ramanan 1 arxiv:1512.556v2 [math.pr] 22 Dec 215 1 Division of Appied Mathematics,

More information

A guide to your with-profits investment and how we manage our With-Profit Fund

A guide to your with-profits investment and how we manage our With-Profit Fund Important information A guide to your with-profits investment and how we manage our With-Profit Fund For customers investing through a With Profits Pension Annuity. Contents This guide is important as

More information

Your guide to remortgaging

Your guide to remortgaging Mortgages Need more information? Speak to one of our mortgage advisers who wi be happy to expain more about our range of mortgages. Ca: 0345 734 4345 (Monday to Friday 8am to 6pm) Cas may be monitored

More information

Barriers and Optimal Investment 1

Barriers and Optimal Investment 1 Barriers and Optima Investment 1 Jean-Danie Saphores 2 bstract This paper anayzes the impact of different types of barriers on the decision to invest using a simpe framework based on stochastic discount

More information

Analyzing Scrip Systems

Analyzing Scrip Systems Submitted to manuscript Pease, provide the manuscript number! Anayzing Scrip Systems Kris Johnson Operations Research Center, Massachusetts Institute of Technoogy, krisd@mit.edu David Simchi-Levi Engineering

More information

Abstract (X (1) i k. The reverse bound holds if in addition, the following symmetry condition holds almost surely

Abstract (X (1) i k. The reverse bound holds if in addition, the following symmetry condition holds almost surely Decouping Inequaities for the Tai Probabiities of Mutivariate U-statistics by Victor H. de a Peña 1 and S. J. Montgomery-Smith 2 Coumbia University and University of Missouri, Coumbia Abstract In this

More information

Pricing and Revenue Sharing Strategies for Internet Service Providers

Pricing and Revenue Sharing Strategies for Internet Service Providers Pricing and Revenue Sharing Strategies for Internet Service Providers Linhai He and Jean Warand Dept. of EECS, U.C. Berkeey {inhai,wr}@eecs.berkeey.edu 1 Abstract One of the chaenges facing the networking

More information

Online Appendix to Product and Pricing Decisions in Crowdfunding

Online Appendix to Product and Pricing Decisions in Crowdfunding 1 Onine Appendix to Product and Pricing Decisions in Crowdfunding A. Simutaneous versus Sequentia Modes Sequentia mecanism assumes tat two buyers arrive at te proposed project at different periods and

More information

Improved multilevel Monte Carlo convergence using the Milstein scheme

Improved multilevel Monte Carlo convergence using the Milstein scheme Improved mutieve Monte Caro convergence using the Mistein scheme M.B. Gies Oxford University Computing Laboratory, Parks Road, Oxford, U.K. Mike.Gies@comab.ox.ac.uk Summary. In this paper we show that

More information

Optimal Hedge Ratio for Brent Oil Market; Baysian Approach

Optimal Hedge Ratio for Brent Oil Market; Baysian Approach Internationa Letters of Socia and Humanistic Sciences Onine: 2014-08-17 ISSN: 2300-2697, Vo. 37, pp 82-87 doi:10.18052/www.scipress.com/ilshs.37.82 2014 SciPress Ltd., Switzerand Optima Hedge Ratio for

More information

Chapter 2 Statistic Analysis of China s Crowdfunding Industry

Chapter 2 Statistic Analysis of China s Crowdfunding Industry Chapter 2 Statistic Anaysis of China s Crowdfunding Industry Zhi Chen, Haimei Wang and Xingqiang Yuan 2.1 The Genera Status of Crowdfunding Patforms 2.1.1 The Number and Distribution of Patforms By the

More information

Deterministic multi-player Dynkin games

Deterministic multi-player Dynkin games Journa of Mathematica Economics 1097 (2003) 1 19 Deterministic muti-payer Dynkin games Eion Soan a,b,, Nicoas Vieie c a MEDS Department, Keogg Schoo of Management, Northwestern University, 2001 Sheridan

More information

Multilevel Monte Carlo Path Simulation

Multilevel Monte Carlo Path Simulation Mutieve Monte Caro Path Simuation Mike Gies gies@comab.ox.ac.uk Oxford University Computing Laboratory 15th Scottish Computationa Mathematics Symposium Mutieve Monte Caro p. 1/34 SDEs in Finance In computationa

More information

Key Features of the With Profits Pension Annuity

Key Features of the With Profits Pension Annuity Key Features of the With Profits Pension Annuity Key Features of the With Profits Pension Annuity The Financia Conduct Authority is a financia services reguator. It requires us, Aviva, to give you this

More information

Loading Factors and Equilibria in Insurance Markets

Loading Factors and Equilibria in Insurance Markets Loading Factors and Equiibria in Insurance Markets Yoram Eden, * Eiakim Katz, ** and Jacob Rosenberg *** Abstract: Tis paper examines te effect of introducing positive oading factors into insurance premia,

More information

Key features of the Pension

Key features of the Pension Key features of the Pension Key features of the Pension The Financia Conduct Authority is a financia services reguator. It requires us, Aviva, to give you this important information to hep you to decide

More information

Finance 462 Solutions to Problem Set #9. First, to simplify, set the unemployment rate to 5% (.05)

Finance 462 Solutions to Problem Set #9. First, to simplify, set the unemployment rate to 5% (.05) Finance 46 Soutions to Probem Set #9 1) With no fees, we have the foowing demand fooans: Q = 15 64 90. 4UR First, to simpify, set the unempoyment rate to 5% (.05) Q = 15 64 90.4(.05) = 10.48 64 To cacuate

More information

MULTILEVEL MONTE CARLO FOR BASKET OPTIONS. Michael B. Giles

MULTILEVEL MONTE CARLO FOR BASKET OPTIONS. Michael B. Giles Proceedings of the 29 Winter Simuation Conference M. D. Rossetti, R. R. Hi, B. Johansson, A. Dunkin, and R. G. Ingas, eds. MULTILEVEL MONTE CARLO FOR BASKET OPTIONS Michae B. Gies Oxford-Man Institute

More information

Annual Notice of Changes for 2019

Annual Notice of Changes for 2019 SiverScript Choice (PDP) offered by SiverScript Insurance Company Annua Notice of Changes for 2019 You are currenty enroed as a member of SiverScript Choice (PDP). Next year, there wi be some changes to

More information

Application of the credibility principle in reinsurance pricing

Application of the credibility principle in reinsurance pricing Appication of the credibiity principe in reinsurance pricing David Raich Angea Wünsche Bahnhofskooquium, Zurich February 203 Agenda. Introduction into credibiity theory 2. Some maths 3. Credibiity for

More information

Legal vs Ownership Unbundling in Network Industries

Legal vs Ownership Unbundling in Network Industries Lega vs Ownership Unbunding in Network Industries Hemuth Cremer, Jacques Crémer, Phiippe De Donder University of Tououse (IDEI and GREMAQ) 1 Aée de Brienne 31000 Tououse Juy 3, 006 Abstract This paper

More information

Trade, Di usion and the Gains from Openness

Trade, Di usion and the Gains from Openness Trade, Di usion and the Gains from Openness Andrés Rodríguez-Care Pennsyvania State University and NBER November, 2007 ( rst version: November 2006) Abstract Buiding on Eaton and Kortum s (2002) mode of

More information

Search and O shoring in the Presence of Animal Spirits

Search and O shoring in the Presence of Animal Spirits Search and O shoring in the Presence of Anima Spirits Devashish Mitra Priya Ranjan Syracuse University University of Caifornia - Irvine Abstract: In this paper, we introduce two sources of unempoyment

More information

Competing for Consumer Inattention

Competing for Consumer Inattention Competing for Consumer Inattention Geoffroy de Cippe Kfir Eiaz Kareen Rozen February 2014 Abstract Consumers purchase mutipe types of goods, but may be abe to examine ony a imited number of markets for

More information

Absorption costing and marginal costing

Absorption costing and marginal costing Chapter 5 Absorption costing and margina costing Rea word case 5.1 This case study shows a typica situation in which management accounting can be hepfu. Read the case study now but ony attempt the discussion

More information

Financing the Entrepreneurial Venture

Financing the Entrepreneurial Venture Financing the Entrepreneuria Venture Jean-Etienne de Bettignies y First Draft: September 2, 2002 This Draft: October 7, 2003 Abstract This paper is about nancia contracting choices for the entrepreneur.

More information

Key Features of the Tax-Free Flexible Plan

Key Features of the Tax-Free Flexible Plan Key Features of the The Key Features suppied beow appy to the adut investment eement of the Famiy Fexibe Pan. No advice has been provided by Scottish Friendy in reation to this pan. If you are in any doubt

More information

The Theory of the Firm Economic Markets

The Theory of the Firm Economic Markets The Theory of the Firm Economic Markets We ve discussed demand, from the theory of a consumer. For suppy we wi examine the firms perspective, what inputs shoud they use, what are their ong run cost functions,

More information

MANAGEMENT ACCOUNTING

MANAGEMENT ACCOUNTING MANAGEMENT ACCOUNTING FORMATION 2 EXAMINATION - AUGUST 2017 NOTES: Section A - Questions 1 and 2 are compusory. You have to answer Part A or Part B ony of Question 2. Shoud you provide answers to both

More information

Advanced Microeconomics(ECH 32306)

Advanced Microeconomics(ECH 32306) Advanced Microeconomics(ECH 6) Homeork --- Soutions Expected Utiity Teory On p Jee and Reny say tat AXIOM G4 (Monotonicity) impies a an Prove tis We prove tis by contradiction Suppose a an, ten a a n and

More information

Multilevel Monte Carlo path simulation

Multilevel Monte Carlo path simulation Mutieve Monte Caro path simuation Mike Gies gies@comab.ox.ac.uk Oxford University Mathematica Institute Oxford-Man Institute of Quantitative Finance Acknowedgments: research funding from Microsoft and

More information

Dynamic programming and efficient hedging for unit-linked insurance contracts

Dynamic programming and efficient hedging for unit-linked insurance contracts Dynamic programming and efficient hedging for unit-inked insurance contracts Johannes Morsing Johannesen Thomas Møer PFA Pension PFA Pension Sundkrogsgade 4 Sundkrogsgade 4 DK-2100 Copenhagen Ø DK-2100

More information

Stepwise Investment and Capacity Sizing under Uncertainty

Stepwise Investment and Capacity Sizing under Uncertainty OR Spectrum manuscript No. (wi be inserted by the editor Stepwise Investment and Capacity Sizing under Uncertainty Michai Chronopouos Verena Hagspie Stein Erik Feten Received: date / Accepted: date Abstract

More information

PoS(ISCC 2017)020. Credit Risk Assessment of Receivable Accounts in Industry Chain based on SVM. Speaker. Huan Sun 1

PoS(ISCC 2017)020. Credit Risk Assessment of Receivable Accounts in Industry Chain based on SVM. Speaker. Huan Sun 1 Credit Risk Assessment of Receivabe Accounts in Industry Chain based on SVM 1 Schoo of computer and information, Hohhot Vocationa Coege Inner Mongoia, 010051, China E-mai: sunhhvc@163.com Industria chain

More information

Fidelity Freedom Index 2005 Fund - Investor Class (FJIFX)

Fidelity Freedom Index 2005 Fund - Investor Class (FJIFX) Aocation Fideity Freedom Index 2005 Fund - Investor Cass (FJIFX) Hypothetica Growth of $10,000 1,2 (10/2/2009-) n Fideity Freedom Index 2005 Fund - Investor Cass $15,353 n Target-Date 2000-2010 $16,178

More information

Financing the Entrepreneurial Venture

Financing the Entrepreneurial Venture Financing the Entrepreneuria Venture Jean-Etienne de Bettignies y This Draft: November, 2005 Abstract This paper is about nancia contracting choices for the entrepreneur. In an incompete contracts mode,

More information

Giving That Grows. Legacies That Last.

Giving That Grows. Legacies That Last. Giving That Grows. Legacies That Last. Donor Advised Fund Program Description & Appication We make a iving by what we get, we make a ife by what we give. Winston Churchi The Sharing of Vaues: What is Your

More information

Antithetic multilevel Monte Carlo estimation for multidimensional SDES

Antithetic multilevel Monte Carlo estimation for multidimensional SDES Antithetic mutieve Monte Caro estimation for mutidimensiona SDES Michae B. Gies and Lukasz Szpruch Abstract In this paper we deveop antithetic mutieve Monte Caro MLMC estimators for mutidimensiona SDEs

More information

S CORPORATIONS INTRODUCTION AND STUDY OBJECTIVES. In studying the rules of S corporations, the student should have these objectives: STUDY HIGHLIGHTS

S CORPORATIONS INTRODUCTION AND STUDY OBJECTIVES. In studying the rules of S corporations, the student should have these objectives: STUDY HIGHLIGHTS H Chapter Eeven H S CORPORATIONS INTRODUCTION AND STUDY OBJECTIVES Certain sma business corporations may eect to be taxed under Subchapter S instead of under the reguar rues for taxation of corporations.

More information

Loans, Insurance and Failures in the Credit Market for Students

Loans, Insurance and Failures in the Credit Market for Students Loans, Insurance and Faiures in the Credit Market for Students Eena de Rey and Bertrand Verheyden y February 2008 Preiminary draft. Do not quote without permission. Abstract We present a mode with perfecty

More information

Strictly Based on the Latest Syllabus issued by CBSE Board for 2016 Examination. Accountancy. Includes Solved Paper (KVS) 2015.

Strictly Based on the Latest Syllabus issued by CBSE Board for 2016 Examination. Accountancy. Includes Solved Paper (KVS) 2015. Stricty Based on the Latest Syabus issued by CBSE Board for 2016 Examination QUESTION BANK Chapter-Wise Soutions Accountancy Incudes Soved Paper (KVS) 2015 Pubished by : OSWAAL BOOKS Oswaa House 1/11,

More information

PROSPECTUS. I could have been an . Visit to sign up. May 1, 2018 VARIABLE UNIVERSAL LIFE INSURANCE (5-18) Product

PROSPECTUS. I could have been an  . Visit  to sign up. May 1, 2018 VARIABLE UNIVERSAL LIFE INSURANCE (5-18) Product PROSPECTUS May 1, 2018 VARIABLE UNIVERSAL LIFE INSURANCE I coud have been an emai. Visit www.fbfs.com to sign up. 737-530 (5-18) 2002-2007 Product PRINCIPAL UNDERWRITER/ SECURITIES & SERVICES OFFERED THROUGH

More information

Market Mechanisms with Non-Price-Taking Agents

Market Mechanisms with Non-Price-Taking Agents Market Mechanisms with Non-Price-Taking Agents 1 arxiv:1108.2728v3 [math.oc] 9 Feb 2012 Ai Kakhbod Department of Eectrica Engineering and Computer Science University of Michigan, Ann Arbor, MI, USA. Emai:

More information

ELECTRONIC FUND TRANSFERS YOUR RIGHTS AND RESPONSIBILITIES. l l l

ELECTRONIC FUND TRANSFERS YOUR RIGHTS AND RESPONSIBILITIES. l l l ELECTRONIC FUND TRANSFERS YOUR RIGHTS AND RESPONSIBILITIES The Eectronic Fund Transfers we are capabe of handing for consumers are indicated beow, some of which may not appy your account Some of these

More information

Pricing and Simulating Catastrophe Risk Bonds in a Markov-dependent Environment

Pricing and Simulating Catastrophe Risk Bonds in a Markov-dependent Environment Pricing and Simuating Catastrophe Risk Bonds in a Markov-dependent Environment Shao, J, Papaioannou, A, Panteous, A & Sparks, T Author post-print (accepted) deposited by Coventry University s Repository

More information

Political Economy of Crop Insurance Risk Subsidies under Imperfect Information. June 7, Harun Bulut and Keith J. Collins *

Political Economy of Crop Insurance Risk Subsidies under Imperfect Information. June 7, Harun Bulut and Keith J. Collins * Poitica Economy of Crop Insurance Risk Subsidies under Imperfect Information June 7, 213 Harun Buut and Keith J. Coins Seected Paper prepared for presentation at the Agricutura & Appied Economics Association

More information

Over 50s Life Insurance

Over 50s Life Insurance Provided by Lega & Genera Over 50s Life Insurance Poicy Terms and Conditions T&C 17CH 1 Ateration to your Poicy Terms and Conditions It is important to read through the aterations detaied beow as these

More information

Fidelity Freedom Index Income Fund - Institutional Premium Class (FFGZX)

Fidelity Freedom Index Income Fund - Institutional Premium Class (FFGZX) Fideity Freedom Index Income Fund - Institutiona Premium Cass (FFGZX) NTF No Transaction Fee 1 Hypothetica Growth of $10,000 2,3 (10/2/2009-) n Fideity Freedom Index Income Fund - Institutiona Premium

More information

Multilevel Monte Carlo Path Simulation

Multilevel Monte Carlo Path Simulation Mutieve Monte Caro Path Simuation Mike Gies gies@comab.ox.ac.uk Oxford University Computing Laboratory First IMA Conference on Computationa Finance Mutieve Monte Caro p. 1/34 Generic Probem Stochastic

More information

The Normative Analysis of Tagging Revisited: Dealing with Stigmatization

The Normative Analysis of Tagging Revisited: Dealing with Stigmatization The Normative Anaysis of Tagging Revisited: Deaing with Stigmatization Laurence Jacquet and Bruno Van der Linden February 20, 2006 Abstract Shoud income transfers be conditiona upon persona characteristics

More information

Multiagent Resource Allocation with Sharable Items: Simple Protocols and Nash Equilibria

Multiagent Resource Allocation with Sharable Items: Simple Protocols and Nash Equilibria Mutiagent Resource Aocation with Sharabe Items: Simpe Protocos and Nash Equiibria Stéphane Airiau Ue Endriss Institute for Logic, Language and Computation University of Amsterdam ABSTRACT We study a particuar

More information

FINDING ALL EQUILIBRIA IN GAMES OF STRATEGIC COMPLEMENTS

FINDING ALL EQUILIBRIA IN GAMES OF STRATEGIC COMPLEMENTS FINDING ALL EQUILIBRIA IN GAMES OF STRATEGIC COMPLEMENTS FEDERICO ECHENIQUE Abstract. I present a simpe and fast agorithm that finds a the purestrategy Nash equiibria in games with strategic compementarities.

More information

ELECTRONIC FUND TRANSFERS YOUR RIGHTS AND RESPONSIBILITIES. l l l. l l. l l l

ELECTRONIC FUND TRANSFERS YOUR RIGHTS AND RESPONSIBILITIES. l l l. l l. l l l ELECTRONIC FUND TRANSFERS YOUR RIGHTS AND RESPONSIBILITIES The Eectronic Fund Transfers we are capabe of handing for consumers are indicated beow, some of which may not appy your account Some of these

More information

Using e-coins to ensure fair sharing of donor funds amongst HIV healthcare facilities

Using e-coins to ensure fair sharing of donor funds amongst HIV healthcare facilities Research Artice SACJ, No. 47., Juy 2011 47 Using e-coins to ensure fair sharing of donor funds amongst HIV heathcare faciities Martin S Oivier, JHP Eoff, Hein S Venter and Mariëtte E Botes University of

More information

SilverScript Employer PDP sponsored by Montgomery County Public Schools (SilverScript) Annual Notice of Changes for 2019

SilverScript Employer PDP sponsored by Montgomery County Public Schools (SilverScript) Annual Notice of Changes for 2019 P.O. Box 30006, Pittsburgh, PA 15222-0330 SiverScript Empoyer PDP sponsored by Montgomery County Pubic Schoos (SiverScript) Annua Notice of Changes for 2019 You are currenty enroed as a member of SiverScript.

More information

ELECTRONIC FUND TRANSFERS YOUR RIGHTS AND RESPONSIBILITIES. l l

ELECTRONIC FUND TRANSFERS YOUR RIGHTS AND RESPONSIBILITIES. l l ELECTRONIC FUND TRANSFERS YOUR RIGHTS AND RESPONSIBILITIES The Eectronic Fund Transfers we are capabe of handing for consumers are indicated beow some of which may not appy your account Some of these may

More information

Product Pricing, Lead Time and Capacity Selection in Price and Time Sensitive Markets

Product Pricing, Lead Time and Capacity Selection in Price and Time Sensitive Markets Product Pricing, Lead Time and Capacity Seection in Price and Time Sensitive Markets SACHIN JAYASWAL Department of Management Sciences University of Wateroo, Canada joint work wit Eizabet Jewkes¹ and Saiba

More information

An Iterative Framework for Optimizing Multicast Throughput in Wireless Networks

An Iterative Framework for Optimizing Multicast Throughput in Wireless Networks An Iterative Framework for Optimizing Muticast Throughput in Wireess Networks Lihua Wan and Jie Luo Eectrica & Computer Engineering Department Coorado State University Fort Coins, CO 80523 Emai: {carawan,

More information

econstor Make Your Publication Visible

econstor Make Your Publication Visible econstor Make Your Pubication Visibe A Service of Wirtschaft Centre zbwleibniz-informationszentrum Economics Hoyt, Wiiam H. Working Paper The Assignment and Division of the Tax Base in a System of Hierarchica

More information

Adverse Selection in Developing Country Factor Markets: The Case of Fertilizers in Cambodia

Adverse Selection in Developing Country Factor Markets: The Case of Fertilizers in Cambodia Adverse Seection in Deveoping Country Factor Markets: The Case of Fertiizers in Cambodia Günter Schame 1 and Friederike Höngen 2 May 2003 Abstract: We anayze the presence and potentia impact of ow quaity

More information

Key Features of Guaranteed Lifelong Protection

Key Features of Guaranteed Lifelong Protection Key Features of Guaranteed Lifeong Protection Retirement Investments Insurance Heath Key Features of Guaranteed Lifeong Protection Expaining what s important The Financia Conduct Authority is a financia

More information

A profile likelihood method for normal mixture with unequal variance

A profile likelihood method for normal mixture with unequal variance This is the author s fina, peer-reviewed manuscript as accepted for pubication. The pubisher-formatted version may be avaiabe through the pubisher s web site or your institution s ibrary. A profie ikeihood

More information

The Valuation of Long-Term Securities

The Valuation of Long-Term Securities 4 The Vauation of Long-Term Securities Contents Distinctions Among Vauation Concepts Liquidation Vaue versus Going-Concern Vaue Book Vaue versus Market Vaue Market Vaue versus Intrinsic Vaue Bond Vauation

More information

Principles and Practices of Financial Management (PPFM)

Principles and Practices of Financial Management (PPFM) Principes and Practices of Financia Management (PPFM) for Aviva Life & Pensions UK Limited Stakehoder With-Profits Sub-Fund Version 17 Retirement Investments Insurance Heath Contents Page Section 1: Introduction

More information

OECD ECONOMIC SURVEY OF DENMARK 2005 IS THE WELFARE SYSTEM SUSTAINABLE?

OECD ECONOMIC SURVEY OF DENMARK 2005 IS THE WELFARE SYSTEM SUSTAINABLE? ORGANISATION DE COOPÉRATION ET DE DÉVELOPPEMENT ÉCONOMIQUES ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT OECD ECONOMIC SURVEY OF DENMARK 25 IS THE WELFARE SYSTEM SUSTAINABLE? This is an excerpt

More information

Department of Economics. Issn Discussion paper 19/08

Department of Economics. Issn Discussion paper 19/08 Department of Economics Issn 1441-5429 Discussion paper 19/08 INFORMATION GATHERING, DELEGATED CONTRACTING AND CORPORATE HIERARCHIES Chongwoo Choe and In-Uck Park 2008 Chongwoo Choe and In-Uck Park A rights

More information

Open Learn Works. Small business responsibilities. Copyright 2015 The Open University

Open Learn Works. Small business responsibilities. Copyright 2015 The Open University Open Learn Works Sma business responsibiities Copyright 2015 The Open University Contents Introduction 3 Learning Outcomes 4 1 A business owner s responsibiities 5 2 Financia terms 6 2.1 Vaue added tax

More information

How to understand the invoicing package? February 2018

How to understand the invoicing package? February 2018 How to understand the invoicing package? February 2018 Introduction Documents incuded in the invoicing package: 1. Contribution Notice 2. Annex A: Debit Note - Debit note (and bank account confirmation

More information

Does Africa Need a Rotten Kin Theorem?

Does Africa Need a Rotten Kin Theorem? Pubic Discosure Authorized Pubic Discosure Authorized Pubic Discosure Authorized Pubic Discosure Authorized Poicy Research Working Paper 6085 Impact Evauation Series No. 58 Does Africa Need a Rotten Kin

More information

CIBC Managed Income Portfolio. Annual Management Report of Fund Performance

CIBC Managed Income Portfolio. Annual Management Report of Fund Performance CIBC Managed Income Portfoio Annua Management Report of Fund Performance for the financia year ended December 31, 2015 A figures are reported in Canadian doars uness otherwise noted This annua management

More information

Financial (Des)Integration.

Financial (Des)Integration. Financia (Des)Integration. Enisse Kharroubi June 2005 Abstract This paper addresses the macroeconomic impact of internationa nancia integration. I rst provide empirica evidence that foreign banking penetration

More information

arxiv: v1 [q-fin.cp] 14 Feb 2018

arxiv: v1 [q-fin.cp] 14 Feb 2018 MULTILEVEL NESTED SIMULATION FOR EFFICIENT RISK ESTIMATION arxiv:1802.05016v1 [q-fin.cp] 14 Feb 2018 By Michae B. Gies and Abdu-Lateef Haji-Ai University of Oxford We investigate the probem of computing

More information

MATHICSE Mathematics Institute of Computational Science and Engineering School of Basic Sciences - Section of Mathematics

MATHICSE Mathematics Institute of Computational Science and Engineering School of Basic Sciences - Section of Mathematics MATHICSE Mathematics Institute of Computationa Science and Engineering Schoo of Basic Sciences - Section of Mathematics MATHICSE Technica Report Nr. 26.2011 December 2011 The mutieve Monte-Caro Method

More information

The University of Chicago Press is collaborating with JSTOR to digitize, preserve and extend access to Journal of Political Economy.

The University of Chicago Press is collaborating with JSTOR to digitize, preserve and extend access to Journal of Political Economy. When Is the Government Spending Mutipier Large? Author(s): Lawrence Christiano, Martin Eichenbaum, Sergio Rebeo Source: Journa of Poitica Economy, Vo. 119, No. 1 (February 2011), pp. 78-121 Pubished by:

More information

Imperial Money Market Pool. Annual Management Report of Fund Performance

Imperial Money Market Pool. Annual Management Report of Fund Performance Imperia Money Market Poo Annua Management Report of Fund Performance for the financia year ended December 31, 2015 A figures are reported in Canadian doars uness otherwise noted This annua management report

More information

SilverScript Employer PDP sponsored by Pfizer (SilverScript) Annual Notice of Changes for 2019

SilverScript Employer PDP sponsored by Pfizer (SilverScript) Annual Notice of Changes for 2019 P.O. Box 30006, Pittsburgh, PA 15222-0330 SiverScript Empoyer PDP sponsored by Pfizer (SiverScript) Annua Notice of Changes for 2019 You are currenty enroed as a member of SiverScript. Next year, there

More information

The UK Bribery Act 2010 and its implications for businesses

The UK Bribery Act 2010 and its implications for businesses 17. The UK Bribery Act 2010 and its impications for businesses John Rupp, Robert Amaee and Ian Redfearn, Covington & Buring LLP There was a time in the not so distant past when the US Foreign Corrupt Practices

More information

INVESTMENT TAX CREDIT - CORPORATIONS (for taxation years starting after 1995)

INVESTMENT TAX CREDIT - CORPORATIONS (for taxation years starting after 1995) Revenue Canada Revenu Canada INVESTMENT TAX CREDIT - CORPORATIONS (for taxation years starting after 1995) Note: Use T2038 (CORP)(E) Rev. 93 if your taxation year begins before 1994. Use Rev.95 if your

More information

SilverScript Employer PDP sponsored by Montgomery County Public Schools (SilverScript) Annual Notice of Changes for 2018

SilverScript Employer PDP sponsored by Montgomery County Public Schools (SilverScript) Annual Notice of Changes for 2018 P.O. Box 52424, Phoenix, AZ 85072-2424 SiverScript Empoyer PDP sponsored by Montgomery County Pubic Schoos (SiverScript) Annua Notice of Changes for 2018 You are currenty enroed as a member of SiverScript.

More information

Offshoring and Skill-upgrading in French Manufacturing: A Heckscher-Ohlin-Melitz View

Offshoring and Skill-upgrading in French Manufacturing: A Heckscher-Ohlin-Melitz View Offshoring and Ski-upgrading in French Manufacturing: A Heckscher-Ohin-Meitz View Juan Caruccio Aejandro Cuñat Harad Fadinger Christian Fons-Rosen March 015 Abstract We present a factor proportion trade

More information

Principles and Practices of Financial Management (PPFM)

Principles and Practices of Financial Management (PPFM) Principes and Practices of Financia Management (PPFM) for Aviva Life & Pensions UK Limited Od With-Profits Sub-Fund and New With-Profits Sub-Fund (Aviva Life & Pensions UK Limited Od WPSF and New WPSF)

More information

About us. Welcome to Viscount Resources.

About us. Welcome to Viscount Resources. Wecome to Viscount Resources. Our main objective is to provide our cients with accurate forecasts, up to the minute market news and cutting edge oppor tunities. This is so you as an investor can buid an

More information

Multilevel Monte Carlo Path Simulation

Multilevel Monte Carlo Path Simulation Mutieve Monte Caro p. 1/32 Mutieve Monte Caro Path Simuation Mike Gies mike.gies@maths.ox.ac.uk Oxford University Mathematica Institute Oxford-Man Institute of Quantitative Finance Workshop on Stochastic

More information

WB mm. iitfiiiiii. MiA^ MIT LIBRARIES

WB mm. iitfiiiiii. MiA^ MIT LIBRARIES MIT LIBRARIES WB mm 3 9080 02246 0585 MiA^ iitfiiiiii Digitized by the Internet Archive in 2011 with funding from Boston Library Consortium Member Libraries http://www.archive.org/detais/bargainingoverriooyid

More information

A Theory of Pre-litigation Settlement and Patent Assertion Entities

A Theory of Pre-litigation Settlement and Patent Assertion Entities A Theory of re-itigation Settement and atent Assertion Entities Leshui He 1 Department of Economics, Bates Coege January 21, 218 1 Address: ettengi Ha, Bates Coege, Lewiston, Maine 424. he@bates.edu. Abstract

More information

Betting on the Real Line. The Harvard community has made this article openly available. Please share how this access benefits you. Your story matters.

Betting on the Real Line. The Harvard community has made this article openly available. Please share how this access benefits you. Your story matters. Betting on the Rea Line The Harvard community has made this artice openy avaiabe. Pease share how this access benefits you. Your story matters. Citation Pubished Version Accessed Citabe Link Terms of Use

More information

Endogenous timing in a mixed duopoly

Endogenous timing in a mixed duopoly Endogenous timing in a mixed duopoy Rabah Amir Department of Economics, University of Arizona Giuseppe De Feo CORE, Université Cathoique de Louvain June 2007 Abstract This paper addresses the issue of

More information

This Agreement is for your credit card account with us. It applies to you and all authorized users.

This Agreement is for your credit card account with us. It applies to you and all authorized users. Credit Card Agreement for HAYLEY KAY HANCOCK This Agreement is for your credit card account with us. It appies to you and a authorized users. In addition to the features outined in this Agreement, you

More information

William Neilson Texas AMUniversity. Abstract

William Neilson Texas AMUniversity. Abstract Caibration resuts for rank dependent expected utiity Wiiam Neison Texas AMUniversity Abstract If its utiity function is everywhere increasing and concave, rank dependent expected utiity shares a troubing

More information

On Multilevel Quasi-Monte Carlo Methods

On Multilevel Quasi-Monte Carlo Methods On Mutieve Quasi-Monte Caro Methods Candidate Number 869133 University of Oxford A thesis submitted in partia fufiment of the MSc in Mathematica and Computationa Finance Trinity 2015 Acknowedgements I

More information

The following advice is offered to businesses that wish to provide coffee as part of their customer service.

The following advice is offered to businesses that wish to provide coffee as part of their customer service. Chapter 4 Overhead costs Rea word case 4.1 The foowing advice is offered to businesses that wish to provide coffee as part of their customer service. The cost of a cup of coffee consists of more than the

More information

THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION

THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION THIS DOCUMENT IS IMPORTANT AND REQUIRES YOUR IMMEDIATE ATTENTION If you are in any doubt as to the action you shoud take, you are recommended to seek immediatey your own persona financia advice from your

More information

Annual Notice of Changes for 2018

Annual Notice of Changes for 2018 WeCare Advance (HMO-POS) offered by Harmony Heath Pan, Inc. Annua Notice of Changes for 2018 You are currenty enroed as a member of WeCare Advance (HMO). Next year, there wi be some changes to the pan

More information

CENCO STREET JOURNAL. New! Non-Medical Underwriting on QoL Max Accumulator+ Check Out The Cenco Website:

CENCO STREET JOURNAL. New! Non-Medical Underwriting on QoL Max Accumulator+ Check Out The Cenco Website: A Specia Pubication for CENCO Reated Agents CENCO STREET JOURNAL Check Out The Cenco Website: www.cencoinsurance.com You wi have access to: Quotes Forms Introduc on Kits for Our Core Carriers Archived

More information