Describe martingale, Advanced Statistics

Martingale: In the gambling context the term at first referred to a system for recouping losses by doubling the stake after each loss has occured. The modern mathematical concept can also be seen in such terms as the mathematical formalization of the concept of a 'fair' game defined as one in which the expected size of the gambler's bank after nth game given the results of all earlier games is unchanged from the size after the (n- 1)th game, that is the gambler's average gain or loss after each game, given the earlier history of the games is zero. More formally the term refers to the stochastic process, or a series of random variables S1; S2; . . ., which is such the expected value of the ðn þ 1Þth random variable conditional on values of the first n, equals to the value of the nth random variable which can be given as

905_martingale.png 

so that E(Sn) does not depend on the value of n.

Posted Date: 7/30/2012 3:11:18 AM | Location : United States







Related Discussions:- Describe martingale, Assignment Help, Ask Question on Describe martingale, Get Answer, Expert's Help, Describe martingale Discussions

Write discussion on Describe martingale
Your posts are moderated
Related Questions
The term used when the aggregated data (for instance, aggregated over different areas) are analysed and the results supposed to apply to the relationships at the individual level.

Weathervane plot is the graphical display of the multivariate data based on bubble plot. The latter is enhanced by the addiction of the lines whose lengths and directions code the

The model for data containing continuous and categorical variables both.The categorical data are summarized by the contingency table and their marginal distribution, 182by the mult

a. Explain the meaning of the word non-orthogonal. b. What condition(s) must exist for non-orthogonality to occur? Be specific.

Prospective study : The studies in which individuals are followed-up over the period of time. A general example of this type of investigation is where the samples of individuals ar

The theorem relating structure of the likelihood to the concept of the sufficient statistic. Officially the necessary and sufficient condition which a statistic S be sufficient for

Mixture experiment is an experiment in which the two or more ingredients are blended together to form an end product. The measurements are taken on the several blends of the ingre

Computer-intensive methods : The statistical methods which require almost identical computations on the data repeated number of times. The term computer intensive is, certainly, a

Clinical vs. statistical significance : The distinction among results in terms of their possible clinical importance rather than simply in terms of their statistical importance. Wi

Mean squarederror is the expected value of square of the difference between an estimator and the true value of the parameter. If the estimator is unbiased then the mean of the squ