Random variable

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Random variable

A function that assigns a real number to each and every possible outcome of a random experiment.

Random Variable

In statistics, a variable expressing all possible outcomes of a set of circumstances. It is important in probability density function and probability distribution.
References in periodicals archive ?
r](W) denotes the r-th cumulant of the stochastic variable W.
The accuracy of risk analysis can be further improved if information is available about the movement of the K stochastic variables other than their individual mean and variances.
The value of each of the K stochastic variables is simulated for the ith period where [x'.
They change over time in response to changes in the simulated values of the three firm-specific stochastic variables, namely, leverage ratio, cash-flow-to-assets, and employment.
The two key stochastic variables that importantly determine market risks in the insurance are stock return and interest rate.
The stochastic variables specified by the user include initial investment costs, annual revenues, annual expenses and salvage value.
The method of Balcombe and Smith (1999) requires the researcher to supply a correlation matrix for the stochastic variables as well as likely ranges for each of the K stochastic variables in both the subsequent period and the terminal period.