Question: Write a computing procedure to make draws from a univariate truncated normal density T N [ a , b ] [ , 2

Write a computing procedure to make draws from a univariate truncated normal density TN[a,b][μ,σ2] using the inverse transform method given in Section 12.8.2. Here [a,b] are lower and upper truncation points. Choose μ=1,σ2=4, and a=3,b=4.

12.8.2. Nonuniform Variates Random variables from many other distributions, including the normal

itself, are usu- ally based on an initial draw of a uniform

12.8.2. Nonuniform Variates Random variables from many other distributions, including the normal itself, are usu- ally based on an initial draw of a uniform random number. Four commonly used meth- ods are (1) inverse transformation, (2) transformation, (3) accept-reject, and (4) mixing and compounding. Inverse Transformation Let F(x) denote the cdf of the continuous random variable x, that is, F(x) Pr[Xx]. Given a draw of a uniform variater, 0

Step by Step Solution

3.43 Rating (143 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Microeconomics Questions!