Title: Dynamic financial and managerial models of life insurers: application of the system dynamics model

Authors: Mei-Su Chen; Gene C. Lai

Addresses: Chao Yang University of Technology, Taiwan No. 168, Jofong E. RD., Wufong Township Taichung County, 41349, Taiwan ' USA Department of Finance, Insurance and Real Estate, Washington State University, P.O. Box 644746, Pullman, WA 99164-4746, USA

Abstract: In this paper we discuss financial and managerial models in the application of system dynamics. The first captures the tension among conflicting performance objectives and their impact on company performance. We gained a number of key insights from the causal mapping processes and explain the management problems in current situation. The most important lessons from longer-term reinforcing relationships concern the insurer operations, need conservatism and avoid speculative investment.

Keywords: system dynamics; causal mapping processes; longer-term reinforcing relationships.

DOI: 10.1504/IJSSCI.2019.106387

International Journal of Services Sciences, 2019 Vol.7 No.1, pp.17 - 24

Accepted: 02 May 2017
Published online: 06 Apr 2020 *

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