Compute a Monte Carlo estimate o of 0.5 0 = L ē -xdx 0 by sampling from Uniform(0, 0.5). Find another Monte Carlo estimator 0* by sampling from the exponential distribution. Use simulations to estimate the variance of Ô and ⑦*, which estimator has smaller variance?

Compute a Monte Carlo estimate o of 0.5 0 = L ē -xdx 0 by sampling from Uniform(0, 0.5). Find another Monte Carlo estimator 0* by sampling from the exponential distribution. Use simulations to estimate the variance of Ô and ⑦*, which estimator has smaller variance?

Operations Research : Applications and Algorithms

4th Edition

ISBN:9780534380588

Author:Wayne L. Winston

Publisher:Wayne L. Winston

Chapter12: Review Of Calculus And Probability

Section12.7: Z-transforms

Problem 1P

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Question

Compute a Monte Carlo estimate o of
0.5
0 =
L
ē -xdx
0
by sampling from Uniform(0, 0.5). Find another Monte Carlo estimator 0* by sampling from the exponential
distribution. Use simulations to estimate the variance of Ô and ⑦*, which estimator has smaller variance?

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