In a quantitative approach, which characteristics must a loss event have for planning a countermeasure?

In a quantitative approach to risk assessment, focusing on planning countermeasures requires that a loss event produces an actual, measurable loss. This characteristic is essential because the purpose of a quantitative analysis is to assess the financial impact of risks in a way that allows organizations to prioritize their risk management efforts based on concrete data. By establishing a framework where losses can be quantified, organizations can make informed decisions on resource allocation and the development of effective countermeasures.

Quantifying loss events involves assessing the likelihood and the potential financial impact of these events, which allows for a structured approach to calculating risk and justifying investments in security measures. Thus, the measurable aspect is crucial for evaluating the overall risk exposure and the cost-benefit analysis of implementing different countermeasures.

In contrast, an event leading to unprecedented gains or being speculative does not lend itself to quantifiable metrics, as it introduces too much uncertainty and ambiguity. The infrequency and randomness of events may complicate assessments yet does not inherently ensure that their occurrence will result in measurable losses. Lastly, while policy changes can play an important role in managing risks, the control over loss events through such changes is not a necessary criterion for them to be included in a quantitative risk assessment; rather, quantification itself is essential for