Exercise4.8 Repeat Exercise4.7fortestingthehypothesesabouttheparameter of aPareto distributionwiththedensity f, (y) = y +1 , y

Exercise4.8 Repeat Exercise4.7fortestingthehypothesesabouttheparameter θ of aPareto distributionwiththedensity fθ,γ (y) = θγ



γ

y

θ+1

, y ≥ γ; θ, γ > 0, where γ is known.

(Hint: showthatln(Yi/γ) ∼ exp(θ).)