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The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

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Page 1: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers
Page 2: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers.

Page 3: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Break into pairs and go through Activity 7 on page 390. Use the Random Number Generator on your calculator to generate rolls of two dice for this activity.

RanInt(2,12)Be prepared to share data with the

class so we can put all the data together.

Page 4: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

1. How many times out of 20 games did your pair win at craps? Relative frequency wins divided by 20.

2. Combined data. Relative frequency of wins for the class.

3. Repeat the process in number 1 but play 25 games. Relative win frequency for the class when 25 games are played. Compared to answer in number 2.

Page 5: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

4. Relative frequency on all 45 rolls of starting a game and winning with a 7 or 11 for each group. Combined relative frequency for the class.

5. Relative frequency of crapping out on the first roll for all 45 attempts for each group. Relative frequency for the class of crapping out on the first roll.

Page 6: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

6. Ok simulate 36 rolls of the dice and record the relative frequency for each number.

Number of 2’s divided by 36, number of 3’s divided by 36, … , number of 12’s divided by 36 for each group. Combined class results.

7. Create a histogram from 6. Shape of the distribution, center of the distribution, least likely to occur, …

Page 7: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Using your histogram from number 6, what is the relative frequency of winning on the first roll and the relative frequency of losing on the first roll? How do these compare with the relative frequencies from our simulations?

Page 8: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

A random variable is a variable whose value is a numerical outcome of a random phenomenon.

How could we express tossing a coin four times as a random variable?

Page 9: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

A discrete random variable X has a countable number of possible values. The probability distribution of X lists the values and their probabilities.

See page 392. The sum of these probabilities sh0uld

be 1. The probability of each event of X

must have a probability between 0 and 1.

Page 10: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and discuss with a neighbor. Be able to discuss with the class.

Page 11: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Probability histogram- a histogram that displays the probabilities of the outcomes of a phenomenon.

See page 393.

Page 12: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and discuss with a neighbor. Be prepared to discuss with the class.

Assignment 7.1 through 7.5 problems starting on page 395.

Page 13: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Let S = { all numbers such that 0 < x < 1}

If the spinner in figure 7.4 is spun what is the probability of spinning a given number?

What does the distribution look like?

Page 14: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers
Page 15: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor.

Page 16: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers
Page 17: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

A continuous random variable X takes all values in an interval of numbers.

The probability distribution of X is described as a density curve.

Page 18: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers
Page 19: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

All continuous probability distributions assign probability 0 to every individual event.

Page 20: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Z scores? What is a z-score? What is the formula to convert an x-

score to a z-score?

x

z

Page 21: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and be ready to discuss with a neighbor.

Page 22: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

The mean of a random variables X is also an average of the possible values of x, but with an essential change to take into account the fact that not all outcomes need be equally likely.

The expected value is the mean of a random variable. The expected value is a weighted average.

Page 23: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

iix

kkx

pxu

pxpxpxu ...2211

Page 24: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor, be prepared to discuss with the class.

Page 25: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor, be prepared to discuss with the class.

Page 26: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

The variance of a variable is the squared value of the standard deviation.

2Variance

Page 27: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

kxkxxx puxpuxpux 22

221

21

2 )(...)()(

kxix pux 22 )(

Page 28: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor, be prepared to discuss with the class.

Page 29: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Pg.413We can get a statistic really close to

a parameter by doing larger and larger samples. The larger the sample the closer we will get to the paremeter.

Page 30: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor, be prepared to discuss with the class.

Page 31: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

People believe that a small run of events should behave like a large run of the events. This is NOT true. Even though Shaquille O’Neal’s lifetime free throw percentage was dismal. He did have runs of getting 5 and 6 free throws in at a time successfully.

Page 32: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor, be prepared to discuss with the class.

Page 33: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

The larger the variability of an event the more trials required to ensure the statistic is close to the parameter.

Page 34: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Rule 1: If X is a random variable and a and b are fixed numbers, then

xbXa buau

Page 35: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Rule 2: If X and Y are random variables, then

YXYX uuu

Page 36: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor, be prepared to discuss with the class.

Page 37: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Rule 1. If X is a random variable and a and b are fixed numbers, then

xbbXa222

Page 38: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Rule 2. If X and Y are independent random variables, then

This is the addition rule for variances of independent random variables.

222

222

YXYX

YXYX

Page 39: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Rule 3. If X and Y have correlation ρ, then

This is the general rule for variances of random variables. The correlation between two independent events is zero.

YXYXYX

YXYXYX

2

2222

222

Page 40: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor, be prepared to discuss with the class.

Page 41: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor, be prepared to discuss with the class.

Page 42: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor, be prepared to discuss with the class.

Page 43: The Law of Large Numbers – Read the preface to Chapter 7 on page 388 and be prepared to summarize the Law of Large Numbers

Read and Discuss with a neighbor, be prepared to discuss with the class.

Zny linear combination of independent random variables is also normally distributed.