For a sufficiently large d.f., the chi-square distribution can be approximated by the standard normal distribution as:

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For a sufficiently large d.f., the chi-square distribution can be approximated by the standard normal distribution as: Z = √2x2 - √2k - 1 ~ N (0, 1). Let k = 50.
a. Use the chi-square table to find out the probability that a chi-square value will exceed 80.
b. Determine this probability by using the preceding normal approximation.
c. Assume that the d.f. are now 100. Compute the probability from the chi-square table as well as from the given normal approximation. What conclusions can you draw from using the normal approximation to the chi-square distribution?
Distribution
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Essentials of Econometrics

ISBN: 978-0073375847

4th edition

Authors: Damodar Gujarati, Dawn Porter

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