A new long-term measure of sustainable growth under uncertainty

ABSTRACT: Abstract The trade-off between short-term success and long-term sustainability is a common subject of great importance both in the biological evolution of organisms and in the economic activities of human beings. In evolutionary biology, bet-hedging theories have described it as the trade-off between the (within-generation) arithmetic mean fitness and the (between-generation) geometric mean fitness of a genotype. Accordingly, bet-hedging strategies observed in various organisms are regarded as optimizing the geometric mean fitness. To increase the geometric mean fitness signifies to suppress the between-generation variance in the mean fitness. Thus, this view is consistent with mean-variance portfolio analysis in which the standard deviation of a portfolio is regarded as a measure of risk.

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PROVIDER: S-EPMC9802095 | biostudies-literature | 2022 Oct

REPOSITORIES: biostudies-literature