Optimization See Sydsaeter(2005, Chapters 2, 3)and Chiang(1984, Chapters 9, 11, 12 and 21) Positive definite matrix Definite matrices are directly related to optimization. A symmetric matrix A is positive semi- definite(A≥0) if rAr≥0,Vx; positive definite(A>0)
A cargo shipper and the underwriter requested to insure a maritime risk requie some assurance that any particular vessel is structurally fit to undertake a proposed voyage.TO enable the shipper and underwriter to distinguish the good risk from the bad2a system of classification