Do you want BuboFlash to help you learning these things? Or do you want to add or correct something? Click here to log in or create user.

#reading-9-probability-concepts

Variance and standard deviation measure the dispersion of a single random variable. Often times, we want to know the relationship between two variables. For example, what is the relationship between the performance of the S&P 500 and that of U.S. long-term corporate bonds? We can use covariance and correlation to measure the degree to which two random variables are related to each other.

If you want to change selection, open document below and click on "Move attachment"

**Subject 7. Covariance and Correlation**

Variance and standard deviation measure the dispersion of a single random variable. Often times, we want to know the relationship between two variables. For example, what is the relationship between the performance of the S&P 500 and that of U.S. long-term corporate bonds? We can use covariance and correlation to measure the degree to which two random variables are related to each other. Given two random variables, R i and R j , the covariance between the two variables is: Facts about covariance: Covarian

Variance and standard deviation measure the dispersion of a single random variable. Often times, we want to know the relationship between two variables. For example, what is the relationship between the performance of the S&P 500 and that of U.S. long-term corporate bonds? We can use covariance and correlation to measure the degree to which two random variables are related to each other. Given two random variables, R i and R j , the covariance between the two variables is: Facts about covariance: Covarian

status | not read | reprioritisations | ||
---|---|---|---|---|

last reprioritisation on | suggested re-reading day | |||

started reading on | finished reading on |

Do you want to join discussion? Click here to log in or create user.