A few illustrative examples of valuation of the benefits of improved water quality are outlined below.
Often, less is understood about the effects of a regulatory intervention (such as reductions in health risks, for example) than the valuation of those effects.
Update: Publishers' Lunch notes that there may be other factors in a calculation of the valuation, for example counting Microsoft's equity stake in the College division, and what impact additional payments made by Microsoft would have.
As another example, in analyzing the valuation of highly valued VC-backed companies (called "unicorns"), he found that these companies on average are overvalued by 50% and that many of the so-called unicorns lose their unicorn status once their fair value is taken into consideration.
A valuation is a function | ⋅ | from a field K into [ 0, ∞ ) such that 0 is the unique element having the 0 valuation, | r s | = | r | | s | and the triangle inequality is replaced by | r + s | ≤ max { | r |, | s | }. The field K is called a valued field if K carries a valuation. The usual absolute values of R and C are the examples of valuations.
This also illustrates that the importance of many other factors across these three domains tends to vary: For example, the valuation by households of fuel savings and impacts on time differs greatly between settings and social strata.
History is filled with examples of disastrous valuations that are hard to credit in retrospect.
Indeed, the multibillion-dollar deal between Microsoft and LinkedIn is just one recent example of data valuation coming to the fore.
A valuation is a function | · | from a field K into [0, ∞) such that, for all r, s ∈ K, the following conditions hold: (a) |r| = 0 if and only if r = 0; (b) |rs| = |r||s|; (c) |r + s| ≤ |r| + |s|. . |r| = 0 if and only if r = 0; |rs| = |r||s|; |r + s| ≤ |r| + |s|. A field K is called a valued field if K carries a valuation. The usual absolute values of ℝ and ℂ are examples of valuations.
