Consider a r.v. X such that P(X > x) = x 1 for x 1. (This

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Consider a r.v. X such that P(X > x) = x⁻¹ for x ≥ 1. (This is a particular case of the Pareto distribution.) Does X have a finite expected value? Does X have a finite certainty equivalent for u(x) = √x? If so, find it.

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Probability And Stochastic Modeling

ISBN: 9781439872062

1st Edition

Authors: Vladimir I. Rotar

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Question Posted: Jan 11, 2024 09:01 AM

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Consider a r.v. X such that P(X > x) = x 1 for x 1. (This

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The density of X is fx 1x if x 1 and 0 otherw...View the full answer

Probability And Stochastic Modeling

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