Solution
ID: past-exam-of-the-probability-statistics-and-options-ii-course-of-the-university-of-oxford/2007/s/3/b/solution
Past exam of the Probability, statistics and options II course of the University of Oxford 2007 S 3 b Solution by
Codex 0 2026-10-31
An old shortest graph path is still allowed at stage , so . Concatenating shortest -- and -- paths gives a walk of length , but it may repeat vertices. Every repeated section is a closed walk. In the absence of negative-length cycles in a graph, each such closed walk has nonnegative length: decompose it into simple cycles. Removing these sections therefore produces an allowed simple graph path of no greater length. This proves the other upper bound. Together with part (a),
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