Real Options: A Tool for Managing Technical Risk in a Mine Plan

NPV is a static measure of project value which does not discriminate between levels of internal and external risk in project valuation. Due to current investment project?s characteristics, a much more complex model is needed: one that includes the value of flexibility and the different risk levels associated with variables subject to uncertainty (price, costs, exchange rates, grade and tonnage of the deposits, cut off grade, among many others). Few of these variables present any correlation or can be treated uniformly. In this context, Real Option Valuation (ROV) arose more than a decade ago, as a mainly theoretical model with the potential for simultaneous calculation of the risk associated with such variables. This paper reviews the literature regarding the application of Real Options Valuation in mining, noting the prior focus on external risks, and presents a case study where ROV is applied to quantify risk associated to mine planning.

An Interval-based Multiobjective Approach to Feature Subset Selection Using Joint Modeling of Objectives and Variables

This paper studies feature subset selection in classification using a multiobjective estimation of distribution algorithm. We consider six functions, namely area under ROC curve, sensitivity, specificity, precision, F1 measure and Brier score, for evaluation of feature subsets and as the objectives of the problem. One of the characteristics of these objective functions is the existence of noise in their values that should be appropriately handled during optimization. Our proposed algorithm consists of two major techniques which are specially designed for the feature subset selection problem. The first one is a solution ranking method based on interval values to handle the noise in the objectives of this problem. The second one is a model estimation method for learning a joint probabilistic model of objectives and variables which is used to generate new solutions and advance through the search space. To simplify model estimation, l1 regularized regression is used to select a subset of problem variables before model learning. The proposed algorithm is compared with a well-known ranking method for interval-valued objectives and a standard multiobjective genetic algorithm. Particularly, the effects of the two new techniques are experimentally investigated. The experimental results show that the proposed algorithm is able to obtain comparable or better performance on the tested datasets.

Evolution and treatment of vitamin B12 deficiency as a risk factor for (cognitive and functional) neurodegenerative diseases in institutionalized elderly = Evolución y tratamiento de la deficiencia de vitamina B12 como factor de riesgo de enfermedades neurodegenerativas (cognitivas y funcionales) en las personas mayores institucionalizadas.

Prevalence of vitamin B12 deficiency is very common in elderly people and can reach values as high as 40.5% of the population. It can be the result of the interaction among several factors. Vitamin B12 deficiencies have been associated with neurological, cognitive deterioration, haematological abnormalities and cardiovascular diseases that have an important influence on the health of the elderly and their quality of life. It is necessary to approach the problems arisen from the lack of data relative to them. The main objective of this thesis was to analyse the evolution of vitamin B12 status and related parameters, lipid and haematological profiles and their relationship to health risk factors, and to functional and cognitive status over one year and to determine the effect of an oral supplementation of 500 μg of cyanocobalamin for a short period of 28 days. An additional objective was to analyze the possible effects of medicine intakes on vitamin B status. Three studies were performed: a) a one year longitudinal follow-up with four measure points; b) an intervention study providing an oral liquid supplement of 500 μg of cyanocobalamin for a 28 days period; and c) analysis of the possible effect of medication intake on vitamin B status using the ATC classification of medicines. The participants for these studies were recruited from nursing homes for the elderly in the Region of Madrid. Sixty elders (mean age 84 _ 7y, 19 men and 41 women) were recruited for Study I and 64 elders (mean age 82 _ 7y, 24 men and 40 women) for Study II. For Study III, baseline data from the initially recruited participants of the first two studies were used. An informed consent was obtained from all participants or their mentors. The studies were approved by the Ethical Committee of the University of Granada. Blood samples were obtained at each examination date and were analyzed for serum cobalamin, holoTC, serum and RBC folate and total homocysteine according to laboratory standard procedures. The haematological parameters analyzed were haematocrit, haemoglobin and MCV. For the lipid profile TG, total cholesterol, LDL- and HDLcholesterol were analyzed. Anthropometric measures (BMI, skinfolds [triceps and subscapular], waist girth and waist to hip ratio), functional tests (hand grip, arm and leg strength tests, static balance) and MMSE were obtained or administered by trained personal. The vitamin B12 supplement of Study II was administered with breakfast and the medication intake was taken from the residents’ anamnesis. Data were analyzed by parametric and non-parametric statistics depending on the obtained data. Comparisons were done using the appropriate ANOVAs or non-parametric tests. Pearsons’ partial correlations with the variable “time” as control were used to define the association of the analyzed parameters. XIII The results showed that: A) Over one year, in relationship to vitamin B status, serum cobalamin decreased, serum folate and mean corpuscular volumen increased significantly and total homocysteine concentrations were stable. Regarding blood lipid profile, triglycerides increased and HDL-cholesterol decreased significantly. Regarding selected anthropometric measurements, waist circumference increased significantly. No significant changes were observed for the rest of parameters. B) Prevalence of hyperhomocysteinemia was high in the elderly studied, ranging from 60% to 90 % over the year depending on the cut-off used for the classification. LDL-cholesterol values were high, especially among women, and showed a tendency to increase over the year. Results of the balance test showed a deficiency and a tendency to decrease; this indicates that the population studied is at high risk for falls. Lower extremity muscular function was deficient and showed a tendency to decrease. A highly significant relationship was observed between the skinfold of the triceps and blood lipid profile. C) Low cobalamin concentrations correlated significantly with low MMSE scores in the elderly studied. No correlations were observed between vitamin B12 status and functional parameters. D) Regarding vitamin B12 status, holo-transcobalamin seems to be more sensitive for diagnosis; 5-10% of the elderly had a deficiency using serum cobalamin as a criterion, and 45-52% had a deficiency when using serum holotranscobalamin as a criterion. E) 500 μg of cyanocobalamin administered orally during 28 days significantly improved vitamin B12 status and significantly decreased total homocysteine concentrations in institutionalized elderly. No effect of the intervention was observed on functional and cognitive parameters. F) The relative change (%) of improvement of vitamin B12 status was higher when using serum holo-transcobalamin as a criterion than serum cobalamin. G) Antiaenemic drug intake normalized cobalamin, urologic drugs and corticosteroids serum folate, and psychoanaleptics holo-transcobalamin levels. Drugs treating pulmonary obstruction increased total homocysteine concentration significantly. H) The daily mean drug intake was 5.1. Fiftynine percent of the elderly took medication belonging to 5 or more different ATC groups. The most prevalent were psycholeptic (53%), antiacid (53%) and antithrombotic (47%) drugs.

Impact attribution models to evaluate drought effects: economic impacts, risk analyses and management strategies in Spain and Chile

La sequía es un fenómeno natural que se origina por el descenso de las precipitaciones con respecto a una media, y que resulta en la disponibilidad insuficiente de agua para alguna actividad. La creciente presión que se ha venido ejerciendo sobre los recursos hídricos ha hecho que los impactos de la sequía se hayan visto agravados a la vez que ha desencadenado situaciones de escasez de agua en muchas partes del planeta. Los países con clima mediterráneo son especialmente vulnerables a las sequías, y, su crecimiento económico dependiente del agua da lugar a impactos importantes. Para reducir los impactos de la sequía es necesaria una reducción de la vulnerabilidad a las sequías que viene dada por una gestión más eficiente y por una mejor preparación. Para ello es muy importante disponer de información acerca de los impactos y el alcance de este fenómeno natural. Esta investigación trata de abarcar el tema de los impactos de las sequías, de manera que plantea todos los tipos de impactos que pueden darse y además compara sus efectos en dos países (España y Chile). Para ello se proponen modelos de atribución de impactos que sean capaces de medir las pérdidas económicas causadas por la falta de agua. Los modelos propuestos tienen una base econométrica en la que se incluyen variables clave a la hora de evaluar los impactos como es una variable relacionada con la disponibilidad de agua, y otras de otra naturaleza para distinguir los efectos causados por otras fuentes de variación. Estos modelos se adaptan según la fase del estudio en la que nos encontremos. En primer lugar se miden los impactos directos sobre el regadío y se introduce en el modelo un factor de aleatoriedad para evaluar el riesgo económico de sequía. Esto se hace a dos niveles geográficos (provincial y de Unidad de Demanda Agraria) y además en el último se introduce no solo el riesgo de oferta sino también el riesgo de demanda de agua. La introducción de la perspectiva de riesgo en el modelo da lugar a una herramienta de gestión del riesgo económico que puede ser utilizada para estrategias de planificación. Más adelante una extensión del modelo econométrico se desarrolla para medir los impactos en el sector agrario (impactos directos sobre el regadío y el secano e impactos indirectos sobre la Agro Industria) para ello se adapta el modelo y se calculan elasticidades concatenadas entre la falta de agua y los impactos secundarios. Por último se plantea un modelo econométrico para el caso de estudio en Chile y se evalúa el impacto de las sequías debidas al fenómeno de La Niña. iv Los resultados en general muestran el valor que brinda el conocimiento más preciso acerca de los impactos, ya que en muchas ocasiones se tiende a sobreestimar los daños realmente producidos por la falta de agua. Los impactos indirectos de la sequía confirman su alcance a la vez que son amortiguados a medida que nos acercamos al ámbito macroeconómico. En el caso de Chile, su diferente gestión muestra el papel que juegan el fenómeno de El Niño y La Niña sobre los precios de los principales cultivos del país y sobre el crecimiento del sector. Para reducir las pérdidas y su alcance se deben plantear más medidas de mitigación que centren su esfuerzo en una gestión eficiente del recurso. Además la prevención debe jugar un papel muy importante para reducir los riesgos que pueden sufrirse ante situaciones de escasez. ABSTRACT Drought is a natural phenomenon that originates by the decrease in rainfall in comparison to the average, and that results in water shortages for some activities. The increasing pressure on water resources has augmented the impact of droughts just as water scarcity has become an additional problem in many parts of the planet. Countries with Mediterranean climate are especially vulnerable to drought, and its waterdependent economic growth leads to significant impacts. To reduce the negative impacts it is necessary to deal with drought vulnerability, and to achieve this objective a more efficient management is needed. The availability of information about the impacts and the scope of droughts become highly important. This research attempts to encompass the issue of drought impacts, and therefore it characterizes all impact types that may occur and also compares its effects in two different countries (Spain and Chile). Impact attribution models are proposed in order to measure the economic losses caused by the lack of water. The proposed models are based on econometric approaches and they include key variables for measuring the impacts. Variables related to water availability, crop prices or time trends are included to be able to distinguish the effects caused by any of the possible sources. These models are adapted for each of the parts of the study. First, the direct impacts on irrigation are measured and a source of variability is introduced into the model to assess the economic risk of drought. This is performed at two geographic levels provincial and Agricultural Demand Unit. In the latter, not only the supply risk is considered but also the water demand risk side. The introduction of the risk perspective into the model results in a risk management tool that can be used for planning strategies. Then an extension of the econometric model is developed to measure the impacts on the agricultural sector (direct impacts on irrigated and rainfed productions and indirect impacts on the Agri-food Industry). For this aim the model is adapted and concatenated elasticities between the lack of water and the impacts are estimated. Finally an econometric model is proposed for the Chilean case study to evaluate the impact of droughts, especially caused by El Niño Southern Oscillation. The overall results show the value of knowing better about the precise impacts that often tend to be overestimated. The models allow for measuring accurate impacts due to the lack of water. Indirect impacts of drought confirm their scope while they confirm also its dilution as we approach the macroeconomic variables. In the case of Chile, different management strategies of the country show the role of ENSO phenomena on main crop prices and on economic trends. More mitigation measures focused on efficient resource management are necessary to reduce drought losses. Besides prevention must play an important role to reduce the risks that may be suffered due to shortages.

An interactive method of fuzzy probability elicitation in risk analysis

Expert knowledge is used to assign probabilities to events in many risk analysis models. However, experts sometimes find it hard to provide specific values for these probabilities, preferring to express vague or imprecise terms that are mapped using a previously defined fuzzy number scale. The rigidity of these scales generates bias in the probability elicitation process and does not allow experts to adequately express their probabilistic judgments. We present an interactive method for extracting a fuzzy number from experts that represents their probabilistic judgments for a given event, along with a quality measure of the probabilistic judgments, useful in a final information filtering and analysis sensitivity process.

Barreras para la práctica de actividad física y deportiva en las personas adultas de la Comunidad de Madrid. Desarrollo y validación de un instrumento

El propósito de este estudio fue la construcción y validación de un instrumento de medición de barreras a la práctica de la actividad física y deportiva por parte de las personas adultas desde la teoría ecológico social y analizar la presencia de las diferentes barreras así como las innovaciones y alternativas de conciliación a las barreras relacionadas con el empleo, el cuidado de hijos e hijas y las tareas del hogar, identificando las posibles diferencias existentes en función del género y del tipo de demanda en la población adulta de la Comunidad de Madrid. Se ha realizado un estudio cuantitativo, descriptivo y transversal en una muestra representativa de la población residente en la Comunidad de Madrid entre 30 y 64 años. El tipo de muestreo fue probabilístico, de tipo polietápico según tamaño demográfico de municipio y género, con un margen de error del ± 5,27% y un intervalo de confianza del 95,5%. El tamaño de la muestra final fue de 360 personas (50,3% mujeres, 49,7% hombres), quienes completaron un cuestionario estructurado mediante entrevista personal cara a cara en su domicilio entre octubre y diciembre de 2011, que incluía una escala de barreras específica, así como sub-cuestionarios de innovaciones y alternativas de conciliación vinculados a los tres ítems relacionados con el empleo, cuidado de hijos e hijas y hogar de la escala de barreras. La escala de barreras fue completada por las personas practicantes de actividad física y deportiva que deseaban realizar otra actividad, es decir, por la Demanda Establecida, así como por las personas no practicantes pero deseosas de hacerlo o Demanda Latente, y las personas no practicantes no interesadas en practicar o Demanda Ausente (n=246). Las personas que alcanzaron elevadas puntuaciones en los tres ítems de la escala de barreras vinculados al empleo, cuidado de hijos e hijas y hogar, completaron sub-cuestionarios específicos de innovaciones y alternativas de conciliación vinculados a estas barreras. Para el estudio métrico de los ítems y la dimesionalidad de la escala de barreras se llevaron a cabo análisis descriptivos de los ítems, análisis correlacionales y análisis factoriales exploratorios (AFE). Como resultado se obtuvo una escala de barreras constituida por 13 ítems que explicaron el 59,1% de la variabilidad total de los datos, agrupados en cuatro dimensiones denominadas: Barreras Interpersonales (2 ítems), Barreras Individuales (4 ítems), Barreras Comunidad-Institucionales (4 ítems) y Barreras Obligaciones-Tiempo (3 ítems). Los datos de la escala de barreras y los sub-cuestionarios de innovaciones y alternativas de conciliación fueron analizados con el SPSS v. 18. Para la comparación de variables cuantitativas y ordinales se utilizaron ANOVAS de dos factores (género por tipo de demanda), el tamaño del efecto para esta prueba se cuantificó mediante eta cuadrado. Los resultados se expresaron como porcentajes para las variables nominales y como medias y desviaciones típicas para las variables ordinales y cuantitativas. El nivel de riesgo se fijó en 0,05. El instrumento presentó una fiabilidad aceptable (α=0,58) en consonancia con el modelo ecológico social presentando dimensiones que explicaron los niveles de influencia de las diferentes esferas. Los resultados obtenidos permitieron avalar tanto la adecuación de las propiedades psicométricas de los ítems, así como la validez y fiabilidad de la escala de barreras para la práctica de actividad física y deportiva. Los distintos análisis realizados han aportado evidencia de la validez de una estructura de cuatro dimensiones acorde a los planteamientos teóricos previos de los modelos ecológicos sociales. En la dimensión barreras Individuales se identificaron diferencias según el tipo de demanda (F2,237=40,28; p<0,001; η2=0,25) y el género (F1,237=8,72; p<0,01; η2=0,84). En la dimensión barreras Interpersonales se identificaron diferencias de género (F1,239 =14,9; p<0,01; η2=0,06) pero no entre demandas (F2,239=2,35; p>0,05; 1-β=0,47). En la dimensión Barreras Obligaciones-Tiempo se identificaron diferencias en función del tipo de demanda (F2,239=3,88; p<0,05; η2=0,03) sin presentar diferencias entre hombres y mujeres (F1,239=1,06; p>0,05; 1-β=0,18). Por último, en la dimensión Comunidad Institucionales, se identificaron diferencias en función del tipo de demanda (F2,240=5,69; p<0,01; η2=0,045) y no hubo diferencias en función del género (F1,240=0,65; p>0,05; 1-β=0,13). Las innovaciones y alternativas de conciliación relacionadas con el empleo más valoradas fueron la de flexibilidad en los horarios de trabajo y adecuación de horarios; las más valoradas relacionadas con la barrera cuidado de hijos fueron que en la instalación deportiva se ofertaran actividades físicas conjuntas, en las en las que pudiesen participar madres e hijos y que la instalación deportiva ofreciera, en el mismo horario, actividades para ellos y sus hijos, y, por último, las más valoradas en relación con las tareas del hogar, una mayor implicación de la pareja seguida por una mayor implicación de los hijos. ABSTRACT The objectives of this study were to build and validate an instrument to measure the barriers of adult people to the practice of sport and physical activities from the perspective of the social-ecological theory, analyse the presence of the different barriers, as well as the innovations and alternatives regarding conciliation with work and the care of children and home as barriers, identifying the possible differences that exist based on gender and the type of demand of the adult population within the Community of Madrid. For this, a quantitative, descriptive and transversal study was carried out on a representative sample of the resident population of the Community of Madrid, ages ranging from 30 to 64 years old. Given that is an infinite or very large population, and working with an interval of confidence of the 95,5%, and assuming in the population variance, the worst case of p equal to q, the margin of sampling error was ± 5,27. The sample consisted of 360 people (50,3% women, 49,7% men), who completed a questionnaire during face-to-face personal interviews between October and December 2011. The questionnaire included a scale of specific barriers, as well as sub-questionnaires on the innovations and alternatives linked to the three items regarding work, the care of children and home of the barriers scale. The barriers scale was completed by people who practice physical and sport activities and wanted to do other activities, i.e. by the Established Demand; by people who do not practice these activities but would like to do so, i.e. Latent Demand; and by people who do not practice these activities and have no desire to do so, i.e. Absent Demand (n=246). The people who peaked on the three items of the barriers scale regarding work, the care of children and home, then completed specific sub-questionnaires on the innovations and alternatives for conciliation related to these barriers. The metric study of the items and the dimensionality of the barriers scale was carried out through descriptive analyses of the items, as well as correlation analyses and exploratory factor analyses (EFA). This resulted in a barriers scale composed of 13 items that explained 59,1% of the total variability of the data, grouped in four dimensions as follows: Interpersonal Barriers (2 items), Individual Barriers (4 items), Community-Institutional Barriers (4 items) and Obligations-Time Barriers (3 items). The data obtained from the barriers scale and sub-questionnaires on the innovations and alternatives for conciliation were analyzed using software SPSS v. 18. Two-way ANOVA (gender by type of demand) was used for the comparison of quantitative and ordinal variables, and the effect size for this test was quantified with eta squared. The results were expressed as percentages for nominal variables, and as means and standard deviations for quantitative and ordinal variables. The level of risk was set at 0,05. The instrument showed an acceptable reliability (α=0,58) in line with the social-ecological model, providing dimensions that explained the influence levels of the different spheres. The results obtained establish both the adaptation of the psychometric properties of the items, and the validity and reliability of the barriers scale for the practice of physical and sport activities. The different analyses have supported the validity of a four-dimensional structure consistent with the previous theoretical approaches on the social-ecological models, while showing adequate statistical indices. The differences identified in the Individual Barriers dimension were based on the type of demand (F2,237=40,28; p<0,001; η2=0,25) and gender (F1,237=8,72; p<0,01; η2=0,84). The differences identified in the Interpersonal Barriers dimension were based on gender (F1,239 =14,9; p<0,01; η2=0,06) but not on demand (F2,239=2,35; p>0,05; 1-β=0,47). The differences identified for the Obligations-Time Barriers dimension were based on the type of demand (F2,239=3,88; p<0,05; η2=0,03) and did not show differences between men and women (F1,239=1,06; p>0,05; 1-β=0,18). Finally, the differences identified for the Community-Institutional Barriers dimension were based on the type of demand (F2,240=5,69; p<0,01; η2=0,045) and provided no differences based on gender (F1,240=0,65; p>,05; 1-β=0,13). The most valued innovations and alternatives for conciliation regarding work were the adaptation and flexibility of working hours and timetables; the most valued related to the care of children were the offer of joint activities for adults and children in sport centres, as well as separate activities within the same timetable; and, finally, the most valued regarding the home was a higher degree of participation and involvement on the part of the spouse or partner, followed by a higher degree of participation and involvement on the part of the children.