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Main Authors: Becherer, Dirk, Bernhardt, Thomas, Gapeev, Pavel
Format: Preprint
Published: 2023
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Online Access:https://arxiv.org/abs/2308.05080
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author Becherer, Dirk
Bernhardt, Thomas
Gapeev, Pavel
author_facet Becherer, Dirk
Bernhardt, Thomas
Gapeev, Pavel
contents We discuss the equivalence of definitions for conditional Poisson processes, Cox processes, and stochastic intensities of point processes on the real line. We show that Watanabe's characterisation of conditional Poisson processes in terms of local martingales is necessary and sufficient. Additionally, we consider conditions enabling the measure change method a la Girsanov to alter the intensity of Cox processes to a desired new target intensity, e.g. for the probability reference approach in filtering. Such a measure change exists if a corresponding stochastic exponential is a proper martingale. We show that this holds if the new locally integrable target intensity is the product of the original intensity and another non-negative process.
format Preprint
id arxiv_https___arxiv_org_abs_2308_05080
institution arXiv
publishDate 2023
record_format arxiv
spellingShingle On Watanabe's characterisation and change of intensity à la Girsanov for Cox processes
Becherer, Dirk
Bernhardt, Thomas
Gapeev, Pavel
Probability
We discuss the equivalence of definitions for conditional Poisson processes, Cox processes, and stochastic intensities of point processes on the real line. We show that Watanabe's characterisation of conditional Poisson processes in terms of local martingales is necessary and sufficient. Additionally, we consider conditions enabling the measure change method a la Girsanov to alter the intensity of Cox processes to a desired new target intensity, e.g. for the probability reference approach in filtering. Such a measure change exists if a corresponding stochastic exponential is a proper martingale. We show that this holds if the new locally integrable target intensity is the product of the original intensity and another non-negative process.
title On Watanabe's characterisation and change of intensity à la Girsanov for Cox processes
topic Probability
url https://arxiv.org/abs/2308.05080