An alternative to the lognormal distribution for modeling highly skewed populations is the Pareto distribution with parameters ? and r. The probability density function is
The parameters ? and r may be any positive numbers. Let Xbe a random variable with this distribution.
a. Find the cumulative distribution function of X.
b. Assume r > 1. Find .
c. Assume r > 2. Find .
d. Show that if r?1. does not exist.
e. Show that if r?2, does not exist.
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