Consider, once again, the model described in Example 7.5.10. Assume that n = 10 and the observed

Question:

Consider, once again, the model described in Example 7.5.10. Assume that n = 10 and the observed values of X1, . . . , X10 are
− 0.92, −0.33, −0.09, 0.27, 0.50, −0.60, 1.66, −1.86, 3.29, 2.30.
a. Fit the model to the observed data using the Gibbs sampling algorithm developed in Exercise 10. Use the following prior hyper parameters: α0 = 1, β0 = 1, μ0 = 0, and λ0 = 1.
b. For each i, estimate the posterior probability that Xi came from the normal with unknown mean and variance.
Distribution
The word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...