Volatility Index

V_shock

Definition

Measures performance stability. High V_shock indicates erratic outcomes and sensitivity to leadership changes; low V_shock indicates consistent performance through changes.

Formula

V_shock = σ(performance) / μ(performance)

Example

A stable institution with consistent outcomes has V_shock ≈ 0.1. One with erratic performance dependent on specific leaders has V_shock ≈ 0.7.

Source

R* Section 4.2

Read Explainer View Paper

Related Terms from R*: Universal Regeneration Index

R* (Universal Regeneration Index)R*

Structural ScoreS_struct

Behavioural ScoreS_behav

Decoupling ScoreS_Δ

Alignment ScoreS_Λ

Explore the Full Glossary

Search 905 terms across all IRSA research papers.

Browse All Terms

Back to Glossary

R*: Universal Regeneration Index