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1. Given a wiener processW(t) with parameter α, we form the processes X(t) = W(t2).

Describe that X(t) is normal with mean zero. Furthermore, if t1 x (t1,t2)= αt12

2. Let Wt be a wiener process and t denote the time. Is stochastic process Xt - 2Wt +t martingale? Describe.

Statistics and Probability, Statistics

  • Category:- Statistics and Probability
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