Answered step by step
Verified Expert Solution
Question
1 Approved Answer
7) Consider the random variable Y~ N(10, 25). Suppose you are interested in the following alternative estimator for the mean of Y: N 1
7) Consider the random variable Y~ N(10, 25). Suppose you are interested in the following alternative estimator for the mean of Y: N 1 n - 1 = Yi i=1 a) Prove that this estimator is biased by (1) calculating by hand the bias of this estimator and (2) use R to simulate 10,000 random draws of sample size n=5 of Y, plotting them in a histogram, and adding a red vertical line at the true mean value ( = 10). Provide both the calculated bias and the histogram here. (Hint: Use the abline() function to add the red vertical line.) b) Show that the estimator is still consistent by (1) showing by hand that the estimator converges to the true mean value , and (2) in R run the same simulation as in (a) but increase the sample size to n=1000, plot the 10,000 estimates in a histogram, and again add a red vertical line at the true mean.
Step by Step Solution
★★★★★
3.30 Rating (156 Votes )
There are 3 Steps involved in it
Step: 1
a To calculate the bias of the estimator ...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started