The Peaks-over-threshold (POT) approach is indeed more efficient in the use of data compared to the generalized extreme value (GEV) approach. The efficiency of the POT approach stems from its ability to focus on the distribution of exceedances over a threshold, which is particularly useful for the risk measurement of tail losses. In contrast, the GEV approach involves some loss of useful data relative to the POT approach, because some blocks might have more than one extreme in them. Therefore, the POT approach's efficient use of data makes it a preferred choice among risk analysts.

Choice A is incorrect. The Peaks-over-threshold (POT) approach may not necessarily be less time consuming.