Non-Commitment and Savings in Dynamic Risk-Sharing Contracts

We characterize the solution to a model of consumption smoothing using financing under non-commitment and savings. We show that, under certain conditions, these two different instruments complement each other perfectly. If the rate of time preference is equal to the interest rate on savings, perfect smoothing can be achieved in finite time. We also show that, when random revenues are generated by periodic investments in capital through a concave production function, the level of smoothing achieved through financial contracts can influence the productive investment efficiency. As long as financial contracts cannot achieve perfect smoothing, productive investment will be used as a complementary smoothing device.

Understanding dynamic risk factors for violence

Recent years have seen a consensus emerge regarding the dynamic risk factors that are associated with future violence. These risk factors are now routinely assessed in structured violence risk assessment instruments. They provide a focus for treatment in structured group programmes. However, relatively little attention has been paid to risk-related theoretical issues, whether these dynamic risk factors are causally related or simply correlates of violent offending, or the extent to which they change as a consequence of treatment. More challenging is the lack of evidence to suggest that changes in these dynamic risk factors actually result in reductions in violent offending. In this paper we consider the meaning of the term dynamic risk, arguing that only those factors that, when changed, reduce the likelihood of violent recidivism, can be considered to be truly dynamic. We conclude that few of the violence risk factors commonly regarded as dynamic fulfil this requirement. There is a need to think more critically about assessment findings and treatment recommendations relating to dynamic risk, and conduct research that establishes, rather than assumes, that certain dynamic risk factors are directly related to violence. Some suggestions for advancing knowledge and practice are provided.

Establishing a framework for dynamic risk management in 'intelligent' aero-engine control

The behaviour of control functions in safety critical software systems is typically bounded to prevent the occurrence of known system level hazards. These bounds are typically derived through safety analyses and can be implemented through the use of necessary design features. However, the unpredictability of real world problems can result in changes in the operating context that may invalidate the behavioural bounds themselves, for example, unexpected hazardous operating contexts as a result of failures or degradation. For highly complex problems it may be infeasible to determine the precise desired behavioural bounds of a function that addresses or minimises risk for hazardous operation cases prior to deployment. This paper presents an overview of the safety challenges associated with such a problem and how such problems might be addressed. A self-management framework is proposed that performs on-line risk management. The features of the framework are shown in context of employing intelligent adaptive controllers operating within complex and highly dynamic problem domains such as Gas-Turbine Aero Engine control. Safety assurance arguments enabled by the framework necessary for certification are also outlined.

Dynamic risk and sexual offending: the conundrum of assessment

The potential to reduce sexual victimisation, promote community safety, and decrease incarceration costs has resulted in considerable progress in terms of how we understand and predict sexual recidivism. And yet, the past decade has seen a degree of fragmentation emerge as research attention has shifted away from relative risk prediction (with its focus on static risk factors) to the identification of factors capable of reducing risk through intervention (i.e. dynamic risk). Although static and dynamic risk are often treated as orthogonal constructs [Beech, A. R., & Craig, L. A. (2012). The current status of static and dynamic factors in sexual offender risk assessment. Journal of Aggression, Conflict and Peace Research, 4(4), 169–185. doi:10.1108/17596591211270671], there are arguments to support a claim that the two are in fact functionally related [see Ward, T. (2015). Dynamic risk factors: Scientific kinds or predictive constructs. Psychology, Crime & Law (in this issue); Ward, T., & Beech, A. R. (2015). Dynamic risk factors: A theoretical dead-end? Psychology, Crime & Law, 21(2), 100–113. doi:10.1080/1068316X.2014.917854]. This discussion clearly affects how we assess dynamic risk. This review considered several commonly used methods of assessment and the evidence offered for their predictive accuracy. Of note were differences in the predictive accuracy of single psychometric measures versus composite scores of dynamic risk domains and the conventions used for establishing effect sizes for risk assessment tools.

Assessing risk in dynamic situations:lessons from fire service operations

Fire Service personnel face risk on a daily basis, frequently working in extremely hazardous conditions—and the severity of the danger faced can fluctuate rapidly. The Fire Service has therefore become extremely experienced at managing dynamic risks. The aim of this article is to review techniques used in the UK fire service to attenuate the effects of risk and to discuss these with respect to organisations which experience dynamic risk in other fields—even if in less dramatic conditions.

Sculpting fog: attempting to define "acceptable risk" in emergency services.

There is currently no consensus as to how “acceptable risk” should be defined in emergency service response. Attempts to address this have relied upon the assumption that a probabilistic model of risk can be calculated and that acceptable levels of risk can be determined. Examples of this process can be seen in a number of emergency services, e.g. dynamic risk assessment utilised by a number of fire services.

Contextualizing risk in the assessment of intellectually disabled individuals

In this article we examine the idea of expanding structured clinical judgement from primarily offender variables to a broader framework in which environmental (including staff) variables are given equal consideration in a comprehensive risk appraisal conducted for risk management purposes of intellectually disabled individuals. It is posited that only by contextualizing the individual's risk within environmental variables can an accurate portrayal of current dynamic risk (and hence the management of that risk) be construed.

Risk management or goods promotion : the relationship between approach and avoidance goals in treatment for sex offenders

In this paper, we propose that there is a direct relationship between risk management and goods (or goal) promotion in the treatment of sexual offenders. We argue that the causal conditions required to promote specific goods are likely, in turn, to eliminate or modify dynamic risk factors (i.e., criminogenic needs). First, the concepts of risk and goals are briefly discussed and their important dimensions clarified. Second, the relationship between criminogenic needs and goals are analyzed in depth. Third, we further clarify our arguments by focusing on four classes of criminogenic needs recently identified in the sexual offending literature: sexual self-regulation, offense supportive cognitions, level of interpersonal functioning, and general self-management problems. Finally, we conclude the paper with some suggestions for future research and treatment.

Risk assessment of child-victim sex offenders for extended supervision in New Zealand

Recently enacted legislation in New Zealand, the Parole (Extended Supervision) Amendment Act 2004, allows for the imposition of up to 10 years of supervision in the community for child-victim sex offenders following their release from prison. The Act requires reports to be written specifically assessing the risk of sexual re-offending against children. This study examined the application of actuarial measures used by the New Zealand Department of Corrections in these assessments, including a computer-scored instrument based on static factors (the Automated Sexual Recidivism Scale; ASRS) and a clinically-based judgement of dynamic risk factors (the SONAR). It was expected that a conservative approach would be taken in making recommendations for or against extended periods of supervision, such that a high score on either measure would predict a recommendation for extended supervision. It was found, however, that a more individualized approach was often taken, whereby a baseline assessment of risk as predicted by the ASRS was adjusted by clinicians based on SONAR ratings. Implications for the practice of risk assessment in sexual re-offending are discussed.

Case formulation with sex offenders : an illustration of individualized risk assessment

There has been a rapid expansion of the professional literature in risk assessment with sexual offenders over the past 20 years.  However, recent professional experience suggests that risk assessment reports often fail to be as relevant or useful as they might be for judicial decision-makers.  Research with large samples of offenders has refined our understanding of identifiable subgroups with different rates of sexual reoffending, but the management of risk requires that we deal effectively with individual offenders.  One area that can be improved is the development of case formulations of risk.  Clinicians must move beyond the mechanical use of actuarial static and dynamic risk factors to a broader integration of relevant information about the individual if they are to assist in managing risk in a way that serves the needs of the offender while protecting public safety.

Does the polygraph lead to better risk prediction for sexual offenders?

The polygraph is receiving increased attention surrounding its ability to facilitate more honest disclosures from sexual offenders concerning risk-related information (e.g., historical risk factors and acute-dynamic risk factors). In addition, the polygraph has become accepted as a standard containment tool in the US, although UK professionals appear to have taken a more cautionary approach. The aim of this review is to provide a basic overview of current risk assessment procedure in the absence of the polygraph, and then to investigate studies that use the polygraph to enhance sexual offenders' risk assessments. Specifically, studies examining historical risk factors, stable-dynamic risk factors, and acute-dynamic risk factors are examined and evaluated. We conclude that there is reasonable evidence supporting polygraph use in some areas of risk assessment. However, the vast majority of studies suffers from serious confounds that should be taken into account by professionals who use the polygraph as a standard practice in sexual offender risk assessment and management. Finally, the future of the polygraph is discussed in light of the presented empirical evidence.

Risk factors for violence in psychosis: systematic review and meta-regression analysis of 110 studies

Background

Previous reviews on risk and protective factors for violence in psychosis have produced contrasting findings. There is therefore a need to clarify the direction and strength of association of risk and protective factors for violent outcomes in individuals with psychosis.

Method

We conducted a systematic review and meta-analysis using 6 electronic databases (CINAHL, EBSCO, EMBASE, Global Health, PsycINFO, PUBMED) and Google Scholar. Studies were identified that reported factors associated with violence in adults diagnosed, using DSM or ICD criteria, with schizophrenia and other psychoses. We considered non-English language studies and dissertations. Risk and protective factors were meta-analysed if reported in three or more primary studies. Meta-regression examined sources of heterogeneity. A novel meta-epidemiological approach was used to group similar risk factors into one of 10 domains. Sub-group analyses were then used to investigate whether risk domains differed for studies reporting severe violence (rather than aggression or hostility) and studies based in inpatient (rather than outpatient) settings.

Findings

There were 110 eligible studies reporting on 45,533 individuals, 8,439 (18.5%) of whom were violent. A total of 39,995 (87.8%) were diagnosed with schizophrenia, 209 (0.4%) were diagnosed with bipolar disorder, and 5,329 (11.8%) were diagnosed with other psychoses. Dynamic (or modifiable) risk factors included hostile behaviour, recent drug misuse, non-adherence with psychological therapies (p values<0.001), higher poor impulse control scores, recent substance misuse, recent alcohol misuse (p values<0.01), and non-adherence with medication (p value <0.05). We also examined a number of static factors, the strongest of which were criminal history factors. When restricting outcomes to severe violence, these associations did not change materially. In studies investigating inpatient violence, associations differed in strength but not direction.

Conclusion

Certain dynamic risk factors are strongly associated with increased violence risk in individuals with psychosis and their role in risk assessment and management warrants further examination.

Spatiotemporal dynamics: the need for an innovative approach in mountain hazard risk management

Starting with an overview on losses due to mountain hazards in the Russian Federation and the European Alps, the question is raised why a substantial number of events still are recorded—despite considerable efforts in hazard mitigation and risk reduction. The main reason for this paradox lies in a missing dynamic risk-based approach, and it is shown that these dynamics have different roots: firstly, neglecting climate change and systems dynamics, the development of hazard scenarios is based on the static approach of design events. Secondly, due to economic development and population dynamics, the elements at risk exposed are subject to spatial and temporal changes. These issues are discussed with respect to temporal and spatial demands. As a result, it is shown how risk is dynamic on a long-term and short-term scale, which has to be acknowledged in the risk concept if this concept is targeted at a sustainable development of mountain regions. A conceptual model is presented that can be used for dynamical risk assessment, and it is shown by different management strategies how this model may be converted into practice. Furthermore, the interconnectedness and interaction between hazard and risk are addressed in order to enhance prevention, the level of protection and the degree of preparedness.