September 28, 2004

Joint Discrete Probability Distributions

We used an example of two stocks that each might be worth either 10 or 20 to illustrate some concepts.

Postive correlation:

P9280015a.jpg

Zero correlation:

P9280019a.jpg

Negative correlation:

P9280022a.jpg

What we learned (by example):

P9280019b.jpg

Posted by bparke at September 28, 2004 11:25 PM