I explain why model theory is unsatisfactory as a semantic theory and has drawbacks as a tool for proofs on logic systems. I then motivate and develop an alternative, the truth-valuational substitutional approach (TVS), and prove with it the soundness and completeness of the first order Predicate Calculus with identity and of Modal Propositional Calculus. Modal logic is developed without recourse to possible worlds. Along the way I answer a variety of difficulties that have been raised against TVS and (...) show that, as applied to several central questions, model-theoretic semantics can be considered TVS in disguise. The conclusion is that the truth-valuational substitutional approach is an adequate tool for many of our logic inquiries, conceptually preferable over model-theoretic semantics. Another conclusion is that formal logic is independent of semantics, apart from its use of the notion of truth, but that even with respect to it its assumptions are minimal. (shrink)

This article presents a new model for valuing a credit default swap (CDS) contract that is affected by multiple credit risks of the buyer, seller and reference entity. We show that default dependency has a significant impact on asset pricing. In fact, correlated default risk is one of the most pervasive threats in financial markets. We also show that a fully collateralized CDS is not equivalent to a risk-free one. In other words, full collateralization cannot eliminate counterparty risk completely (...) in the CDS market. (shrink)

This article presents a generic model for pricing financial derivatives subject to counterparty credit risk. Both unilateral and bilateral types of credit risks are considered. Our study shows that credit risk should be modeled as American style options in most cases, which require a backward induction valuation. To correct a common mistake in the literature, we emphasize that the market value of a defaultable derivative is actually a risky value rather than a risk-free value. Credit value adjustment (CVA) (...) is also elaborated. A practical framework is developed for pricing defaultable derivatives and calculating their CVAs at a portfolio level. (shrink)

The main goal of the article is a further development of the usage of income and comparable approaches to company valuation aimed at defining market capitalization sensitivity to value changing in the conditions of dynamization of internal and external business parameters. The relevance of the researched topic is determined by the importance of establishing the factors influencing the change in company market capitalization based on the synthesis of approaches to company valuation. To obtain the results of the study, (...) the following methods were used: structural and logical analysis – to improve the process approach to company valuation in the context of determining the impact of its change on market capitalization; discounted cash flow method (DCF-model) – to determine the value of the enterprise based on the income approach; comparable companies method – to determine the value of the company on the basis of a market approach; factor analysis method – to assess the impact of changes in value on company market capitalization; generalization and logical analysis – in conclusions building. The results of critical analysis of publications of domestic and foreign scientists on the application of company valuation methods identified the need of improvement the process approach to company valuation in the context of determining the impact of its change on the company market capitalization. To adequately assess company value, the use of a synthesis of income and market approaches is proposed. The implementation of the DCF-model and comparable companies valuation method while valuation of Private Joint-Stock Company “SKF Ukraine” allowed to establish that the greatest impact on the target metric (company market capitalization) has an average industry multiplier EV/EBITDA, terminal growth rate and weighted average cost of capital – 5.9 %, 3.2% and 2.7% respectively. The practical value of the results of the study is determined by the importance of forming a full analytical basis for establishing the attractiveness of the performance of joint-stock companies in the market and consolidating management decisionsin order to increase market capitalization. (shrink)

Philosophical investigation in synthetic biology has focused on the knowledge-seeking questions pursued, the kind of engineering techniques used, and on the ethical impact of the products produced. However, little work has been done to investigate the processes by which these epistemological, metaphysical, and ethical forms of inquiry arise in the course of synthetic biology research. An attempt at this work relying on a particular area of synthetic biology will be the aim of this chapter. I focus on the reengineering of (...) metabolic pathways through the manipulation and construction of small DNA-based devices and systems synthetic biology. Rather than focusing on the engineered products or ethical principles that result, I will investigate the processes by which these arise. As such, the attention will be directed to the activities of practitioners, their manipulation of tools, and the use they make of techniques to construct new metabolic devices. Using a science-in-practice approach, I investigate problems at the intersection of science, philosophy of science, and sociology of science. I consider how practitioners within this area of synthetic biology reconfigure biological understanding and ethical categories through active modelling and manipulation of known functional parts, biological pathways for use in the design of microbial machines to solve problems in medicine, technology, and the environment. We might describe this kind of problem-solving as relying on what Helen Longino referred to as “social cognition” or the type of scientific work done within what Hasok Chang calls “systems of practice”. My aim in this chapter will be to investigate the relationship that holds between systems of practice within metabolic engineering research and social cognition. I will attempt to show how knowledge and normative valuation are generated from this particular network of practitioners. In doing so, I suggest that the social nature of scientific inquiry is ineliminable to both knowledge acquisition and ethical evaluations. (shrink)

During the lifetime of a structured product, payment events and cancellation events mainly affect the value of the option. This article presents a model for pricing generic cancellable option. The model is used to build most common kinds of cancellation schedules and compute the cancellation probability.

This paper presents an analytical model for valuing interest rate swaps, subject to bilateral counterparty credit risk. The counterparty defaults are modeled by the reduced-form model as the first jump of a time-inhomogeneous Poisson process. All quantities modeled are market-observable. The closed-form solution gives us a better understanding of the impact of the credit asymmetry on swap value, credit value adjustment, swap rate and swap spread.

This paper presents a Least Square Monte Carlo approach for accurately calculating credit value adjustment (CVA). In contrast to previous studies, the model relies on the probability distribution of a default time/jump rather than the default time itself, as the default time is usually inaccessible. As such, the model can achieve a high order of accuracy with a relatively easy implementation. We find that the valuation of a defaultable derivative is normally determined via backward induction when their (...) payoffs could be positive or negative. Moreover, the model can naturally capture wrong or right way risk. (shrink)

The one-side defaultable financial derivatives valuation problems have been studied extensively, but the valuation of bilateral derivatives with asymmetric credit qualities is still lacking convincing mechanism. This paper presents an analytical model for valuing derivatives subject to default by both counterparties. The default-free interest rates are modeled by the Market Models, while the default time is modeled by the reduced-form model as the first jump of a time-inhomogeneous Poisson process. All quantities modeled are market-observable. The closed-form (...) solution gives us a better understanding of the impact of the credit asymmetry on swap value, credit value adjustment, swap rate and swap spread. (shrink)

Seeking consensuses from the public is difficult, this also applies to the heritage sector, particularly in heritage preservation. ‘What, why and how to preserve?’ are the core of debates in the field and the differ- ences between points of views are basically due to the difference in valuation. In order to know everyone’s needs, views and expectations better and for sustainability, involving the community for preservation be- comes fundamental. Education, an experience which does not only provide opportunities for enlightenments (...) and widening horizons, but also introduce various concepts in terms of moral, ethical and social through systematic instructions. Having such great impact to community, promoting heritage education can be an effective approach awakening public consciousness on heritage preservation, and thus, enhancing people’s responsibility towards heritage, for both tangible and intangible, and developing a sustainable future for heritage through public engagement. However, it is necessary to understand the structure or the level of engagement prior setting the goal for heritage education. A model for classifying the level of engagement from performance is proposed for clarification and appraisal. This model is part of the research project of Community Engagement with Heritage in Macau which has an intention to examine its level of community engagement and give suggestions. This essay will first discuss community engagement, then classify the levels of engagement with models and lastly argue heritage education can elevate the level of community engagement which ultimately achieves the aim of heritage preservation. (shrink)

$${{{\mathcal {F}}}}$$ -systems are useful digraphs to model sentences that predicate the falsity of other sentences. Paradoxes like the Liar and the one of Yablo can be analyzed with that tool to find graph-theoretic patterns. In this paper we studied this general model consisting of a set of sentences and the binary relation ‘ $$\ldots $$ affirms the falsity of $$\ldots $$ ’ among them. The possible existence of non-referential sentences was also considered. To model the sets (...) of all the sentences that can jointly be valued as true we introduced the notion of conglomerate, the existence of which guarantees the absence of paradox. Conglomerates also enabled us to characterize referential contradictions, i.e., sentences that can only be false under a classical valuation due to the interactions with other sentences in the model. A Kripke-style fixed-point characterization of groundedness was offered, and complete (meaning that every sentence is deemed either true or false) and consistent (meaning that no sentence is deemed true and false) fixed points were put in correspondence with conglomerates. Furthermore, argumentation frameworks are special cases of $$\mathcal{F}$$ -systems. We showed the relation between local conglomerates and admissible sets of arguments and argued about the usefulness of the concept for the argumentation theory. (shrink)

The LIBOR Market Model has become one of the most popular models for pricing interest rate products. It is commonly believed that Monte-Carlo simulation is the only viable method available for the LIBOR Market Model. In this article, however, we propose a lattice approach to price interest rate products within the LIBOR Market Model by introducing a shifted forward measure and several novel fast drift approximation methods. This model should achieve the best performance without losing much (...) accuracy. Moreover, the calibration is almost automatic and it is simple and easy to implement. Adding this model to the valuation toolkit is actually quite useful; especially for risk management or in the case there is a need for a quick turnaround. (shrink)

The AI Contribution Value System Argument proposes a framework in which AI-generated contributions are valued based on their societal impact rather than traditional monetary metrics. Traditional economic systems often fail to capture the enduring value of AI innovations, which can mitigate pressing global challenges. This argument introduces a contribution-based valuation model grounded in equity, inclusivity, and sustainability. By incorporating measurable metrics such as quality-adjusted life years (QALYs), emissions reduced, and innovations generated, this system ensures rewards align with tangible (...) societal benefits. It emphasizes the need for global collaboration, ethical safeguards, and adaptive frameworks to prevent monopolization and corruption. Through AI-enhanced transparency, blockchain-based trust mechanisms, and cross-border cooperation, the AI Contribution Value System offers a transformative approach to fostering sustainable and equitable innovation in the 21st century. (shrink)

Financial sustainability of protected areas is one of the main challenges of management. Financial self-sufficiency is an important element in improving conservation effort in these areas. This study seeks to review best practices in recreational fee systems in different countries and to find a relevant entry fee for a wildlife sanctuary in Malaysia. The revenue of the National Elephant Conservation Center (NECC) in Kuala Gandah, Malaysia, comes from several sources, including the national government, but all these budgetary sources are strained (...) by tighter public budgets and greater demands. The present study investigates the introduction of visitor entrance fees to supplement an otherwise inadequate budget for supporting the operational costs of the sanctuary. Factor analysis and a double-bounded contingent valuation method were combined to estimate tourists' willingness to pay (WTP) the proposed entrance fee. Factor analysis showed that respondents' motivation to support the NECC with user fees is conditioned by their direct experiences with elephants, their satisfaction with NECC's educational programs and services, and other experiences it gives to users. The WTP model considered respondents' four motivation factors with their sociodemographic characteristics. Since NECC visitors arrive from both within and outside the country, this study suggests to center managers a two-tier fee structure (residents vs. nonresidents of Malaysia), based upon mean WTP estimates. This study further suggests that revenue from such an entrance fee for NECC could support the Center's management and development costs. © 2015 Elsevier B. (shrink)

In this paper I focus on the conditions that have to be met for Chisholm’s Paradox (CP) to occur. My claim is that identity and structure are notions closely related to each other. I propose a discussion in which the minimal framework for CP is set, then analyze the paradox in terms of S5, and suggest that in order to capture the core of the paradox one should use a dynamic valuation function for the model. Identity appears, at (...) this point, to be dependent upon a structuralist point of view. (shrink)

This paper presents and motivates a new philosophical and logical approach to truth and semantic paradox. It begins from an inferentialist, and particularly bilateralist, theory of meaning---one which takes meaning to be constituted by assertibility and deniability conditions---and shows how the usual multiple-conclusion sequent calculus for classical logic can be given an inferentialist motivation, leaving classical model theory as of only derivative importance. The paper then uses this theory of meaning to present and motivate a logical system---ST---that conservatively extends (...) classical logic with a fully transparent truth predicate. This system is shown to allow for classical reasoning over the full (truth-involving) vocabulary, but to be non-transitive. Some special cases where transitivity does hold are outlined. ST is also shown to give rise to a familiar sort of model for non-classical logics: Kripke fixed points on the Strong Kleene valuation scheme. Finally, to give a theory of paradoxical sentences, a distinction is drawn between two varieties of assertion and two varieties of denial. On one variety, paradoxical sentences cannot be either asserted or denied; on the other, they must be both asserted and denied. The target theory is compared favourably to more familiar related systems, and some objections are considered. (shrink)

We generalize and extend the class of Sahlqvist formulae in arbitrary polyadic modal languages, to the class of so called inductive formulae. To introduce them we use a representation of modal polyadic languages in a combinatorial style and thus, in particular, develop what we believe to be a better syntactic approach to elementary canonical formulae altogether. By generalizing the method of minimal valuations à la Sahlqvist–van Benthem and the topological approach of Sambin and Vaccaro we prove that all inductive formulae (...) are elementary canonical and thus extend Sahlqvist’s theorem over them. In particular, we give a simple example of an inductive formula which is not frame-equivalent to any Sahlqvist formula. Then, after a deeper analysis of the inductive formulae as set-theoretic operators in descriptive and Kripke frames, we establish a somewhat stronger model-theoretic characterization of these formulae in terms of a suitable equivalence to syntactically simpler formulae in the extension of the language with reversive modalities. Lastly, we study and characterize the elementary canonical formulae in reversive languages with nominals, where the relevant notion of persistence is with respect to discrete frames. (shrink)

In this work, we discuss the failure of the principle of truth functionality in the quantum formalism. By exploiting this failure, we import the formalism of N-matrix theory and non-deterministic semantics to the foundations of quantum mechanics. This is done by describing quantum states as particular valuations associated with infinite non-deterministic truth tables. This allows us to introduce a natural interpretation of quantum states in terms of a non-deterministic semantics. We also provide a similar construction for arbitrary probabilistic theories based (...) in orthomodular lattices, allowing to study post-quantum models using logical techniques. (shrink)

As the ongoing literature on the paradoxes of the Lottery and the Preface reminds us, the nature of the relation between probability and rational acceptability remains far from settled. This article provides a novel perspective on the matter by exploiting a recently noted structural parallel with the problem of judgment aggregation. After offering a number of general desiderata on the relation between finite probability models and sets of accepted sentences in a Boolean sentential language, it is noted that a number (...) of these constraints will be satisfied if and only if acceptable sentences are true under all valuations in a distinguished non-empty set W. Drawing inspiration from distance-based aggregation procedures, various scoring rule based membership conditions for W are discussed and a possible point of contact with ranking theory is considered. The paper closes with various suggestions for further research. (shrink)

This article informally presents a solution to the paradoxes of truth and shows how the solution solves classical paradoxes (such as the original Liar) as well as the paradoxes that were invented as counterarguments for various proposed solutions (“the revenge of the Liar”). This solution complements the classical procedure of determining the truth values of sentences by its own failure and, when the procedure fails, through an appropriate semantic shift allows us to express the failure in a classical two-valued language. (...) Formally speaking, the solution is a language with one meaning of symbols and two valuations of the truth values of sentences. The primary valuation is a classical valuation that is partial in the presence of the truth predicate. It enables us to determine the classical truth value of a sentence or leads to the failure of that determination. The language with the primary valuation is precisely the largest intrinsic fixed point of the strong Kleene three-valued semantics (LIFPSK3). The semantic shift that allows us to express the failure of the primary valuation is precisely the classical closure of LIFPSK3: it extends LIFPSK3 to a classical language in parts where LIFPSK3 is undetermined. Thus, this article provides an argumentation, which has not been present in contemporary debates so far, for the choice of LIFPSK3 and its classical closure as the right model for the truth predicate. In the end, an erroneous critique of Kripke-Feferman axiomatic theory of truth, which is present in contemporary literature, is pointed out. (shrink)

The structure "home - world - ideals" is presented as the structure of "philosophical striving" (F. Marković). It could be formally described as a model consisting of a domain, relations and a valuation. On that basis, the identity, openness, and the significance of Croatian philosophy is investigated. The programme of the renewal of Croatian philosophy (as proposed 1882 by Franjo Marković) is re-examined, and some unsolved historical-cultural discontinuities within the programme are described. The written beginnings of Croatian philosophical (...) thought are detected in the Charter of Duke Trpimir (852). (shrink)

Academic social networks and social media have revolutionised the way individuals gather information and express themselves, particularly in academia, science, and research. Through the lens of academics, this study aims to investigate the epistemological and psychosocial aspects of these knowledge sources. The epistemological attitude model presented a framework to delve into and reflect upon the existence of knowledge sources, comprising subjective, interactional, and knowledge dimensions. One hundred and twenty-six university academics participated in this study, including lecturers and researchers from (...) different higher education institutions in Latvia. The study employed two methods: the Epistemological Attitudes towards Sources of Knowledge Questionnaire and the Epistemological Attitudes towards Sources of Knowledge Semantic Questionnaire. The data analysis involved several procedures, including exploratory and confirmatory factor analysis, correlation analysis, and test statistics. By implementing these methods, the study gained valuable insights into the sources of knowledge, examining them from two perspectives. The first perspective brought attention to the differences in academics’ appraisals by discussing their understanding, approach, use, and valuations of these sources. By scrutinising the constructs of meanings, the second perspective sheds light on the anticipated knowledge which is deemed ideal, the concrete knowledge that is both social and objective, and the subjectively valuable nature of academic social networks and social media. The findings underscore the specialised knowledge and qualities that academics rely on for producing knowledge. In terms of epistemology, methodology, social science, and education, the study holds theoretical and practical implications, especially in comprehending knowledge and its sources. (shrink)

Modern scientific cosmology pushes the boundaries of knowledge and the knowable. This is prompting questions on the nature of scientific knowledge. A central issue is what defines a 'good' model. When addressing global properties of the Universe or its initial state this becomes a particularly pressing issue. How to assess the probability of the Universe as a whole is empirically ambiguous, since we can examine only part of a single realisation of the system under investigation: at some point, data (...) will run out. We review the basics of applying Bayesian statistical explanation to the Universe as a whole. We argue that a conventional Bayesian approach to model inference generally fails in such circumstances, and cannot resolve, e.g., the so-called 'measure problem' in inflationary cosmology. Implicit and non-empirical valuations inevitably enter model assessment in these cases. This undermines the possibility to perform Bayesian model comparison. One must therefore either stay silent, or pursue a more general form of systematic and rational model assessment. We outline a generalised axiological Bayesian model inference framework, based on mathematical lattices. This extends inference based on empirical data (evidence) to additionally consider the properties of model structure (elegance) and model possibility space (beneficence). We propose this as a natural and theoretically well-motivated framework for introducing an explicit, rational approach to theoretical model prejudice and inference beyond data. (shrink)

This article argues that Nietzsche’s transvaluation project refers not to a mere inversion or negation of a set of nihilism-prone, Judeo-Christian values but, instead, to a different conception of what a value is and how it functions. Traditional values function within a standard logical framework and claim legitimacy and “bindingness” based on exogenous authority with absolute extension. Nietzsche regards this framework as unnecessarily reductive in its attempted exclusion of contradiction and real opposition among competing values. I propose a nonstandard, dialetheic (...) model of valuation that requires a value to be both true and false as well as neither true nor false.In our Europe, life is no longer quite so uncertain, contingent, nonsensical. [...] The power man has achieved now allows a reduction of those means of discipline of which the moral interpretation was the strongest.— KSA 12:5[71]The logic of our conscious thinking is only a crude and facilitated form of the thinking needed by our organism [...] A simultaneity-thinking [ein Zugleichdenken], for example, is needed of which we have hardly an inkling. [...] We are still growing continually, our sense of time and place, etc., is still developing.— KSA 11:34[124]. (shrink)

The categoricity problem for a system of logic reveals an asymmetry between the model-theoretic and the proof-theoretic resources of that logic. In particular, it reveals prima facie that the proof-theoretic instruments are insufficient for matching the envisaged model-theory, when the latter is already available. Among the proposed solutions for solving this problem, some make use of new proof-theoretic instruments, some others introduce new model-theoretic constrains on the proof-systems, while others try to use instruments from both sides. On (...) the proof-theoretical side, two main approaches for solving the categoricity problem for propositional classical logic consist in the enforcement of the formal systems of this logic by introducing rules of inference of a new kind. A multiple-conclusions logic allows rules of inference with more than one conclusion, while a bilateralist system contains rules of inference formulated in terms of assertion and rejection. Both these approaches reveal interesting formal features of logical reasoning. This paper analyses some of the advantages and limitations of these two approaches as solutions for a full formalization of logic, i.e., for a categorical formalization. (shrink)

The thesis deals with the concept of truth and the paradoxes of truth. Philosophical theories usually consider the concept of truth from a wider perspective. They are concerned with questions such as - Is there any connection between the truth and the world? And, if there is - What is the nature of the connection? Contrary to these theories, this analysis is of a logical nature. It deals with the internal semantic structure of language, the mutual semantic connection of sentences, (...) above all the connection of sentences that speak about the truth of other sentences and sentences whose truth they speak about. Truth paradoxes show that there is a problem in our basic understanding of the language meaning and they are a test for any proposed solution. It is important to make a distinction between the normative and analytical aspect of the solution. The former tries to ensure that paradoxes will not emerge. The latter tries to explain paradoxes. Of course, the practical aspect of the solution is also important. It tries to ensure a good framework for logical foundations of knowledge, for related problems in Artificial Intelligence and for the analysis of the natural language. Tarski’s analysis emphasized the T-scheme as the basic intuitive principle for the concept of truth, but it also showed its inconsistency with the classical logic. Tarski’s solution is to preserve the classical logic and to restrict the scheme: we can talk about the truth of sentences of a language only inside another essentially richer metalanguage. This solution is in harmony with the idea of reflexivity of thinking and it has become very fertile for mathematics and science in general. But it has normative nature | truth paradoxes are avoided in a way that in such frame we cannot even express paradoxical sentences. It is also too restrictive because, for the same reason we cannot express a situation in which there is a circular reference of some sentences to other sentences, no matter how common and harmless such a situation may be. Kripke showed that there is no natural restriction to the T-scheme and we have to accept it. But then we must also accept the riskiness of sentences | the possibility that under some circumstances a sentence does not have the classical truth value but it is undetermined. This leads to languages with three-valued semantics. Kripke did not give any definite model, but he gave a theoretical frame for investigations of various models | each fixed point in each three-valued semantics can be a model for the concept of truth. The solutions also have normative nature | we can express the paradoxical sentences, but we escape a contradiction by declaring them undetermined. Such a solution could become an analytical solution only if we provide the analysis that would show in a substantial way that it is the solution that models the concept of truth. Kripke took some steps in the direction of finding an analytical solution. He preferred the strong Kleene three-valued semantics for which he wrote it was "appropriate" but did not explain why it was appropriate. One reason for such a choice is probably that Kripke finds paradoxical sentences meaningful. This eliminates the weak Kleene three valued semantics which corresponds to the idea that paradoxical sentences are meaningless, and thus indeterminate. Another reason could be that the strong Kleene three valued semantics has the so-called investigative interpretation. According to this interpretation, this semantics corresponds to the classical determination of truth, whereby all sentences that do not have an already determined value are temporarily considered indeterminate. When we determine the truth value of these sentences, then we can also determine the truth value of the sentences that are composed of them. Kripke supplemented this investigative interpretation with an intuition about learning the concept of truth. That intuition deals with how we can teach someone who is a competent user of an initial language (without the predicate of truth T) to use sentences that contain the predicate T. That person knows which sentences of the initial language are true and which are not. We give her the rule to assign the T attribute to the former and deny that attribute to the latter. In that way, some new sentences that contain the predicate of truth, and which were indeterminate until then, become determinate. So the person gets a new set of true and false sentences with which he continues the procedure. This intuition leads directly to the smallest fixed point of strong Kleene semantics as an analytically acceptable model for the logical notion of truth. However, since this process is usually saturated only on some transfinite ordinal, this intuition, by climbing on ordinals, increasingly becomes a metaphor. This thesis is an attempt to give an analytical solution to truth paradoxes. It gives an analysis of why and how some sentences lack the classical truth value. The starting point is basic intuition according to which paradoxical sentences are meaningful (because we understand what they are talking about well, moreover we use it for determining their truth values), but they witness the failure of the classical procedure of determining their truth value in some "extreme" circumstances. Paradoxes emerge because the classical procedure of the truth value determination does not always give a classically supposed (and expected) answer. The analysis shows that such an assumption is an unjustified generalization from common situations to all situations. We can accept the classical procedure of the truth value determination and consequently the internal semantic structure of the language, but we must reject the universality of the exterior assumption of a successful ending of the procedure. The consciousness of this transforms paradoxes to normal situations inherent to the classical procedure. Some sentences, although meaningful, when we evaluate them according to the classical truth conditions, the classical conditions do not assign them a unique value. We can assign to them the third value, \undetermined", as a sign of definitive failure of the classical procedure. An analysis of the propagation of the failure in the structure of sentences gives exactly the strong Kleene three-valued semantics, not as an investigative procedure, as it occurs in Kripke, but as the classical truth determination procedure accompanied by the propagation of its own failure. An analysis of the circularities in the determination of the classical truth value gives the criterion of when the classical procedure succeeds and when it fails, when the sentences will have the classical truth value and when they will not. It turns out that the truth values of sentences thus obtained give exactly the largest intrinsic fixed point of the strong Kleene three-valued semantics. In that way, the argumentation is given for that choice among all fixed points of all monotone three-valued semantics for the model of the logical concept of truth. An immediate mathematical description of the fixed point is given, too. It has also been shown how this language can be semantically completed to the classical language which in many respects appears a natural completion of the process of thinking about the truth values of the sentences of a given language. Thus the final model is a language that has one interpretation and two systems of sentence truth evaluation, primary and final evaluation. The language through the symbol T speaks of its primary truth valuation, which is precisely the largest intrinsic fixed point of the strong Kleene three valued semantics. Its final truth valuation is the semantic completion of the first in such a way that all sentences that are not true in the primary valuation are false in the final valuation. (shrink)

This article presents a comprehensive framework for valuing financial instruments subject to credit risk. In particular, we focus on the impact of default dependence on asset pricing, as correlated default risk is one of the most pervasive threats in financial markets. We analyze how swap rates are affected by bilateral counterparty credit risk, and how CDS spreads depend on the trilateral credit risk of the buyer, seller, and reference entity in a contract. Moreover, we study the effect of collateralization on (...) valuation, since the majority of OTC derivatives are collateralized. The model shows that a fully collateralized swap is risk-free, whereas a fully collateralized CDS is not equivalent to a risk-free one. (shrink)

This paper reflects on lessons learned from a validated model of international collaboration based on research and practice. During the European Year for Active Ageing, a partnership of seven organizations from the European Union plus Turkey implemented the Lifelong Learning Programme partnership “Connecting Generations‘ which involved universities, non-governmental organizations, third age Universities and municipalities in collaboration with local communities. Reckoning that Europe has dramatically changed in its demographic composition and is facing brand new challenges regarding intergenerational and intercultural solidarity, (...) each partner formulated and tested innovative and creative practices that could enhance better collaboration and mutual understanding between youth and senior citizens, toward a more inclusive Europe for all. Several innovative local practices have experimented, attentively systematized and peer-valuated among the partners. On the basis of a shared theoretical framework coherent with EU and Europe and Training 2020 Strategy, an action-research approach was adopted throughout the project in order to understand common features that have been replicated and scaled up since today. (shrink)

The incremental risk charge (IRC) is a new regulatory requirement from the Basel Committee in response to the recent financial crisis. Notably few models for IRC have been developed in the literature. This paper proposes a methodology consisting of two Monte Carlo simulations. The first Monte Carlo simulation simulates default, migration, and concentration in an integrated way. Combining with full re-valuation, the loss distribution at the first liquidity horizon for a subportfolio can be generated. The second Monte Carlo simulation (...) is the random draws based on the constant level of risk assumption. It convolutes the copies of the single loss distribution to produce one year loss distribution. The aggregation of different subportfolios with different liquidity horizons is addressed. Moreover, the methodology for equity is also included, even though it is optional in IRC. (shrink)

This article presents a new model for valuing financial contracts subject to credit risk and collateralization. Examples include the valuation of a credit default swap (CDS) contract that is affected by the trilateral credit risk of the buyer, seller and reference entity. We show that default dependency has a significant impact on asset pricing. In fact, correlated default risk is one of the most pervasive threats in financial markets. We also show that a fully collateralized CDS is not (...) equivalent to a risk-free one. In other words, full collateralization cannot eliminate counterparty risk completely in the CDS market. (shrink)

Coherence and correspondence are classical contenders as theories of truth. In this paper we examine them instead as interacting factors in the dynamics of belief across epistemic networks. We construct an agent-based model of network contact in which agents are characterized not in terms of single beliefs but in terms of internal belief suites. Individuals update elements of their belief suites on input from other agents in order both to maximize internal belief coherence and to incorporate ‘trickled in’ elements (...) of truth as correspondence. Results, though often intuitive, prove more complex than in simpler models (Hegselmann & Krause 2002, 2006; Grim, Singer, Reade & Fisher 2015). The optimistic finding is that pressures toward internal coherence can exploit and expand on small elements of truth as correspondence is introduced into epistemic networks. Less optimistic results show that pressures for coherence can also work directly against the incorporation of truth, particularly when coherence is established first and new data is introduced later. (shrink)

A general mathematical framework, based on countable partitions of Natural Numbers [1], is presented, that allows to provide a Semantics to propositional languages. It has the particularity of allowing both the valuations and the interpretation Sets for the connectives to discriminate complexity of the formulas. This allows different adequacy criteria to be used to assess formulas associated with the same connective, but that differ in their complexity. The presented method can be adapted potentially infinite number of connectives and truth values, (...) therefore, it can be considered a general framework to provide semantics to several of the known logic systems (eg, LC, L3 LP, FDE). The presented semantics allow to converge to different standard semantics if the separation complexity procedure is annulled. Therefore, it can be understood as a framework that allows greater precision (in complexity terms) with respect to formula satisfaction. Naturally, because of how it is built, it can be incorporated into non-deterministic semantics. The presented procedure also allows generating valuations that grant a different truth value to each formula of propositional language. As a positive side effect, our method allows a constructive proof of the equipotence between N and N^n for all Natural n. (shrink)

Current approaches used in educational research and practice to evaluate the quality of written arguments often rely on structural analysis. In such assessments, credit is awarded for the presence of structural elements of an argument, such as claims, evidence, and rebuttals. In this article, we discuss limitations of such approaches, including the absence of criteria for evaluating the quality of the argument elements. We then present an alternative framework, based on the Rational Force Model (RFM), which originated from the (...) work of a Nordic philosopher Næss. Using an example of an argumentative essay, we demonstrate the potential of the RFM to improve argument analysis by focusing on the acceptability and relevance of argument elements, two criteria widely considered to be fundamental markers of argument strength. We outline possibilities and challenges with using the RFM in educational contexts and conclude by proposing directions for future research. (shrink)

One of the most frequently voiced criticisms of free will skepticism is that it is unable to adequately deal with criminal behavior and that the responses it would permit as justified are insufficient for acceptable social policy. This concern is fueled by two factors. The first is that one of the most prominent justifications for punishing criminals, retributivism, is incompatible with free will skepticism. The second concern is that alternative justifications that are not ruled out by the skeptical view per (...) se face significant independent moral objections. Yet despite these concerns, I maintain that free will skepticism leaves intact other ways to respond to criminal behavior—in particular preventive detention, rehabilitation, and alteration of relevant social conditions—and that these methods are both morally justifiable and sufficient for good social policy. The position I defend is similar to Derk Pereboom’s, taking as its starting point his quarantine analogy, but it sets out to develop the quarantine model within a broader justificatory framework drawn from public health ethics. The resulting model—which I call the public health -quarantine model—provides a framework for justifying quarantine and criminal sanctions that is more humane than retributivism and preferable to other non-retributive alternatives. It also provides a broader approach to criminal behavior than Pereboom’s quarantine analogy does on its own. (shrink)

The "myside bias'' in evaluating arguments is an empirically well-confirmed phenomenon that consists of overweighting arguments that endorse one's beliefs or attack alternative beliefs while underweighting arguments that attack one's beliefs or defend alternative beliefs. This paper makes two contributions: First, it proposes a probabilistic model that adequately captures three salient features of myside bias in argument evaluation. Second, it provides a Bayesian justification of this model, thus showing that myside bias has a rational Bayesian explanation under certain (...) conditions. (shrink)

Previous research in Explainable Artificial Intelligence (XAI) suggests that a main aim of explainability approaches is to satisfy specific interests, goals, expectations, needs, and demands regarding artificial systems (we call these “stakeholders' desiderata”) in a variety of contexts. However, the literature on XAI is vast, spreads out across multiple largely disconnected disciplines, and it often remains unclear how explainability approaches are supposed to achieve the goal of satisfying stakeholders' desiderata. This paper discusses the main classes of stakeholders calling for explainability (...) of artificial systems and reviews their desiderata. We provide a model that explicitly spells out the main concepts and relations necessary to consider and investigate when evaluating, adjusting, choosing, and developing explainability approaches that aim to satisfy stakeholders' desiderata. This model can serve researchers from the variety of different disciplines involved in XAI as a common ground. It emphasizes where there is interdisciplinary potential in the evaluation and the development of explainability approaches. (shrink)

Reflective equilibrium (RE) is often regarded as a powerful method in ethics, logic, and even philosophy in general. Despite this popularity, characterizations of the method have been fairly vague and unspecific so far. It thus may be doubted whether RE is more than a jumble of appealing but ultimately sketchy ideas that cannot be spelled out consistently. In this paper, we dispel such doubts by devising a formal model of RE. The model contains as components the agent’s commitments (...) and a theory that tries to systematize the commitments. It yields a precise picture of how the commitments and the theory are adjusted to each other. The model differentiates between equilibrium as a target state and the dynamic equilibration process. First solutions to the model, obtained by computer simulation, show that the method allows for consistent specification and that the model’s implications are plausible in view of expectations on RE. In particular, the mutual adjustment of commitments and theory can improve one’s commitments, as proponents of RE have suggested. We argue that our model is fruitful not only because it points to issues that need to be dealt with for a better understanding of RE, but also because it provides the means to address these issues. (shrink)

Cosmological inflation is widely considered an integral and empirically successful component of contemporary cosmology. It was originally motivated by its solution of certain so-called fine-tuning problems of the hot big bang model, particularly what are known as the horizon problem and the flatness problem. Although the physics behind these problems is clear enough, the nature of the problems depends on the sense in which the hot big bang model is fine-tuned and how the alleged fine-tuning is problematic. Without (...) clear explications of these, it remains unclear precisely what problems inflationary theory is meant to be solving and whether it does in fact solve them. I analyze the structure of these problems and consider various interpretations that may substantiate the alleged fine-tuning. On the basis of this analysis I argue that at present there is no unproblematic interpretation available for which it can be said that inflation solves the big bang model’s alleged fine-tuning problems. (shrink)

A technical artefact is often described in two ways: by means of a physicalistic model of its structure and dynamics, and by a functional account of the contributions of the components of the artefact to its capacities. These models do not compete, as different models of the same phenomenon in physics usually do; they supplement each other and cohere. Coherence is shown to be the result of a mapping of role-contributions on physicalistic relations that is brought about by the (...) concept of function. It results a sandwich-like structure of the two models, which can be reconstructed as a two-sorted theory element. (shrink)

There is growing concern that a global economic system fueled predominately by financial incentives may not maximize human flourishing and social welfare externalities. If so, this presents a challenge of how to get economic actors to adopt a more virtuous motivational mindset. Relying on historical, psychological, and philosophical research, we show how such a mindset can be instilled. First, we demonstrate that historically, financial self-interest has never in fact been the only guiding motive behind free markets, but that markets themselves (...) are representations of our individual and collective moral identities. Building on this understanding, we review the research on how economic incentives crowd out virtue-oriented concerns. We then introduce the concept of moral self-awareness (MSA), an evolving mindset informed by reflection on moral identity, namely what one’s actions say about oneself given the impacts on others or society that one’s action may effect. MSA comprises three fundamental aspects of virtue-oriented reasoning: pride, shame, and guilt. Finally, we offer a four-stage model anchored in systems theory, yielding ever more refined motivating strategies for maximizing human flourishing and social welfare externalities. (shrink)

Using as case studies two early diagrams that represent mechanisms of the cell division cycle, we aim to extend prior philosophical analyses of the roles of diagrams in scientific reasoning, and specifically their role in biological reasoning. The diagrams we discuss are, in practice, integral and indispensible elements of reasoning from experimental data about the cell division cycle to mathematical models of the cycle’s molecular mechanisms. In accordance with prior analyses, the diagrams provide functional explanations of the cell cycle and (...) facilitate the construction of mathematical models of the cell cycle. But, extending beyond those analyses, we show how diagrams facilitate the construction of mathematical models, and we argue that the diagrams permit nomological explanations of the cell cycle. We further argue that what makes diagrams integral and indispensible for explanation and model construction is their nature as locality aids: they group together information that is to be used together in a way that sentential representations do not. (shrink)

It is not necessarily the case that we ever have experiences of self, but human beings do regularly report instances for which self is experienced as absent. That is there are times when body parts, mental states, or actions are felt to be alien. Here I sketch an explanatory framework for explaining these alienation experiences, a framework that also attempts to explain the “mental glue” whereby self is bound to body, mind, or action. The framework is a multi-dimensional model (...) that integrates personal and sub-personal components, psychological and neural processes. I then proceed to show how this model can be applied to explain the action-related passivity experiences of persons suffering from schizophrenia. I argue that a distinctive phenomenological mark of these experiences is that they are vividly felt, unlike ordinary actions (those taken to belong to self), and I seek to explain these heightened sensory experiences from within the proposed framework. I also propose hypotheses concerning such phenomena as thought insertion and anarchic hand syndrome that are motivated by this framework. Finally, I argue that the proposed model and view of self-experiences is consistent with several aspects of and theories of consciousness, especially theories which indicate that consciousness is more likely to be engaged when we are dealing with novelty or error—e.g. when self seems to have gone missing. I conclude by recommending that if we wish to learn about self, we would be well advised to attend closely to those times when it seems absent. (shrink)

Elimination controversies are ubiquitous in philosophy and the human sciences. For example, it has been suggested that human races, hysteria, intelligence, mental disorder, propositional attitudes such as beliefs and desires, the self, and the super-ego should be eliminated from the list of respectable entities in the human sciences. I argue that eliminativist proposals are often presented in the framework of an oversimplified “phlogiston model” and suggest an alternative account that describes ontological elimination on a gradual scale between criticism of (...) empirical assumptions and conceptual choices. (shrink)

Of the various loci of systematic theology that call for sustained philosophical investigation, the doctrine of sanctification stands out as a prime candidate. In response to that call, William Alston developed three models of the sanctifying work of the Holy Spirit: the fiat model, the interpersonal model, and the sharing model. In response to Alston’s argument for the sharing model, this paper offers grounds for a reconsideration of the interpersonal model. We close with a discussion (...) of some of the implications of one’s understanding of the transforming work of the Holy Spirit for practical Christian spirituality. (shrink)

This study aims to look at the role of the practice of excellence strategies in education in achieving sustainable competitive advantage for the Higher educational institutions of the faculty of Engineering and Information Technology at Al-Azhar University in Gaza, a model, and the study considered the competitive advantage of educational institutions stems from the impact on the level of each student, employee, and the institution. The study was based on the premise that the development of strategies for excellence in (...) education, and its implementation is a vital important prerequisite to achieve sustainable competitive advantage in higher educational institutions. The study followed a systematic exploratory descriptive methodology through review of the theoretical literature, and the adoption of the experience of the Faculty of Engineering and Information Technology at Al-Azhar University in Gaza as a model for its unique experience in the field of excellence in education. The study results showed that the most important are: There is a strong correlation between the level of exercising excellence strategies in education and the achievement of higher educational institutions to the sustainable competitive advantage. The results include a general required number of important sub results on the subject of the model - Faculty of Engineering and Information Technology at Al-Azhar University in Gaza as follows: - The student considered the academic focus of the operation in the development process of the workers’ skills, particularly academics at the university helps to distinguish students and increase the employment rate after graduation. - The existence of consistency in development efforts and quality improvement for all three levels (student, employee, and the university), and this contributes to the Faculty excellence. - The Faculty has been able to achieve competitive advantages by offering excellent services without harming the efficiency, and this alone is a great success because improving service properties requires great investments, which negatively affect the continued institutional development. The study also reached a set of recommendations as follows: - The need to exercise excellence strategies in education, excellence reward at the national level, and those higher educational institutions follow the criteria for measuring the competitive advantages of its institutions always. - There is a need to increase efforts to implement programs of excellence, the allocation of adequate time, reward outstanding efforts as well. There is a necessity for each faculty to achieve competitive advantage and sustainability, using the general philosophies of competitive advantage, but with a different strategically content from what is in the private commercial sector, it reflects the Faculties mission and objectives, depending on making improvements and excellence in processes that ensure the safety of its outputs. As well as the need to find a balance between the work of teaching and research work of the faculty members, this has important implications regarding the criteria used in the process of excellence evaluation. The study recommended the adoption of strategies for excellence in education on a national public policy level mainly in the processes of change in higher education institutions. The need to support the existence of a common understanding of the efforts of excellence to create a general culture that appreciates excellence in faculties and universities. This underlines the need for transparent, fair rewards systems, to encourage innovation in education. The need to conduct a comprehensive surveys on the graduates of faculties and universities including the areas of employment and skills, because that will give accurate indications of the graduates and will help to establish a link to a more precise about the relationship of excellence strategies with the competitive advantages. (shrink)

Sripada has recently advanced a new account for asymmetries that have been uncovered in folk judgments of intentionality: the ?Deep Self model,? according to which an action is more likely to be judged as intentional if it matches the agent's central and stable attitudes and values (i.e., the agent's Deep Self). In this paper, we present new experiments that challenge this model in two ways: first, we show that the Deep Self model makes predictions that are falsified, (...) then we present cases that it cannot account for. Finally, we discuss how the Deep Self model could be modified to accommodate these new data. (shrink)

One striking feature of the contemporary modeling practice is its interdisciplinarity: the same function forms and equations, and mathematical and computational methods are being transferred across disciplinary boundaries. Within philosophy of science this interdisciplinary dimension of modeling has been addressed by both analogy and template-based approaches that have proceeded separately from each other. We argue that a more fully-blown account of model transfer needs both perspectives. We examine analogical reasoning and template application through a detailed case study on the (...) transfer of the Ising model from physics into neuroscience. Our account combines the analogy and template-based approaches through the notion of a model template that highlights the conceptual side of model transfer. (shrink)

I investigate how theoretical assumptions, pertinent to different perspectives and operative during the modeling process, are central in determining how nature is actually taken to be. I explore two different models by Michael Turelli and Steve Frank of the evolution of parasite-mediated cytoplasmic incompatility, guided, respectively, by Fisherian and Wrightian perspectives. Since the two models can be shown to be commensurable both with respect to mathematics and data, I argue that the differences between them in the (1) mathematical presentation of (...) the models, (2) explanations, and (3) objectified ontologies stem neither from differences in mathematical method nor the employed data, but from differences in the theoretical assumptions, especially regarding ontology, already present in the respective perspectives. I use my "set up, mathematically manipulate, explain, and objectify" (SMEO) account of the modeling process to track the model-mediated imposition of theoretical assumptions. I conclude with a discussion of the general implications of my analysis of these models for the controversy between Fisherian and Wrightian perspectives. (shrink)