TITLE:
The Expected Discounted Tax Payments on Dual Risk Model under a Dividend Threshold
AUTHORS:
Zhang Liu, Aili Zhang, Canhua Li
KEYWORDS:
Dual Risk Model; Expected Discounted Tax Payments; Dividend; Threshold Strategy
JOURNAL NAME:
Open Journal of Statistics,
Vol.3 No.2,
April
30,
2013
ABSTRACT: In this paper, we consider
the dual risk model in which periodic taxation are paid according to a loss-carry-forward
system and dividends are
paid under a threshold strategy. We give an analytical approach to derive the
expression of gδ(u) (i.e. the
Laplace transform of the first upper exit time). We discuss the expected
discounted tax payments for this model and obtain its corresponding
integro-differential equations. Finally, for Erlang (2) inter-innovation distribution,
closedform expressions for
the expected discounted tax payments are given.