... ct(E), and the equality is understoodmodulo λcQ(t, dy), the image of the measure λQ(t, dx) under the mappingct.Since the right-hand side of (55) is a class of equivalence, the rigorousformulation ... 3.5 From the point of view of economics, discounting meansthat the locally risk-free asset is chosen as the “num´eraire”, i.e. the prices of all other assets are evaluated in the units of this ... C0[0, ∞[.In other words, KZt(ω) is the product of the operator Kt(ω)andtheoperator of multiplication by the function Z(ω,t−,.)andonemaywriteKZt= ZtKt. Clearly, the above results...