Why the Monte Carlo method is so important today

Since the beginning of electronic computing, people have been interested in carrying out random experiments on a computer. Such Monte Carlo techniques are now an essential ingredient in many quantitative investigations. Why is the Monte Carlo method ( MCM ) so important today? This article explores the reasons why the MCM has evolved from a ‘last resort’ solution to a leading methodology that permeates much of contemporary science, finance, and engineering. WIREs Comput Stat 2014, 6:386–392. doi: 10.1002/wics.1314 This article is categorized under: Statistical and Graphical Methods of Data Analysis > Markov Chain Monte Carlo (MCMC) Statistical Models > Simulation Models