Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Suppose X and Y are discrete random variables with the following bivariate distribution. f(x,y) Y = 2 Y=9 X=2 0.2 0.1 X=3 0.1 0.1

 



Suppose X and Y are discrete random variables with the following bivariate distribution. f(x,y) Y = 2 Y=9 X=2 0.2 0.1 X=3 0.1 0.1 X-7 0.1 0.4 Find the marginal distribution of Y y f(y) What is the expected value of Y, E[Y]? Find the conditional distribution of Y, conditional on X = 2 y fly |X=2) What is E[YIX=2] ? Find the conditional distribution of Y, conditional on X = 3 1(yIX = 3) What is E[YIX-3]? Find the conditional distribution of Y, conditional on X = 7 flyIX-7) What is E[YIX=7]? Verify the Law of Iterated Expectations Fill in from your answers and other information above: = E(Y) E(YIX-2)*Pr(X-2)+E(YIX-3)*Pr(X-3) + E(YIX-7)*Pr(X=7)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introduction to Econometrics

Authors: James H. Stock, Mark W. Watson

3rd edition

133595420, 978-0138009007, 138009007, 978-0133486872, 133486877, 978-0133595420

More Books

Students also viewed these Economics questions

Question

=+a) What were the factors and factor levels?

Answered: 1 week ago