Description: Shapiro 1990 documented some of the criteria used by actuaries when selecting the assumptions for actuarial valuations. He noted, however, that many of these criteria are often were in conflict with one another. This paper uses expected utility theory to model this process of choosing actuarial assumption when faced with potentially conflicting criteria. The three criteria considered are prudence, best estimate and conservativeness.

Description: In this paper we will describe how richer actuarial programs can be provided if a number of schools with smaller programs combine resources by forming a regional cooperative or consortium. We have already formed our own consortium, the Southwest Actuarial Education and Research Consortium SWAERC. The strategies proposed here have already been used in SWAERC, and we will illustrate each of them by describing our own experience with it.