Country Risk Evaluation

Financial globalization has increased the significance of methods used in the evaluation of country risk, one of the major research topics in economics and finance. Written by experts in the fields of multicriteria methodology, credit risk assessment, ope

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Springer Optimization and Its Applications VOLUME 15 Managing Editor Panos M. Pardalos (University of Florida) Editor—Combinatorial Optimization Ding-Zhu Du (University of Texas at Dallas) Advisory Board J. Birge (University of Chicago) C.A. Floudas (Princeton University) F. Giannessi (University of Pisa) H.D. Sherali (Virginia Polytechnic and State University) T. Terlaky (McMaster University) Y. Ye (Stanford University)

Aims and Scope Optimization has been expanding in all directions at an astonishing rate during the last few decades. New algorithmic and theoretical techniques have been developed, the diffusion into other disciplines has proceeded at a rapid pace, and our knowledge of all aspects of the field has grown even more profound. At the same time, one of the most striking trends in optimization is the constantly increasing emphasis on the interdisciplinary nature of the field. Optimization has been a basic tool in all areas of applied mathematics, engineering, medicine, economics and other sciences. The series Optimization and Its Applications publishes undergraduate and graduate textbooks, monographs and state-of-the-art expository works that focus on algorithms for solving optimization problems and also study applications involving such problems. Some of the topics covered include nonlinear optimization (convex and nonconvex), network flow problems, stochastic optimization, optimal control, discrete optimization, multiobjective programming, description of software packages, approximation techniques and heuristic approaches.

COUNTRY RISK EVALUATION Edited By KYRIAKI KOSMIDOU Technical University of Crete, Greece MICHAEL DOUMPOS Technical University of Crete, Greece CONSTANTIN ZOPOUNIDIS Technical University of Crete, Greece

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Michael Doumpos Department of Production Engineering and Management Technical University of Crete University Campus 731 00 Chania Crete, Greece [email protected]

Kyriaki Kosmidou Department of E conomics Aristotle University of Thessaloniki Thessaloniki, Greece kosmid @ econ.auth.gr Constantin Zopounidis Department of Production Engineering and Management Financial Engineering Laboratory Technical University of Crete University Campus 731 00 Chania Crete, Greece kostas@ dpem.tuc.gr

Editor/ Combinatorial Optimization: Ding-Zhu Du Department of Computer Science and Engineering University of Texas at Dallas RRichardson, TX 75083 [email protected]

Managing Editor: Panos M. Pardalos Department of Industrial and Systems Engineering University of Florida Gainesville, FL 32611 [email protected] @

ISSN: 1931-6828 ISBN: 978-0-387-76679-9 DOI: 10.1007/978-0-387-76680-5

e-ISBN: 978-0-387-76680-5

Library of Congress Control Number: 2008922673 © 2008 by Springer Science+Business Media, LLC All rights reserved. This work may not be translated or copied in whole or in part without the written permission of the publisher (Springer Science+Business Media, LLC, 233 Spring Street, New York, NY 10013, USA), except for brief excerpts in connection with reviews or scholarly analys