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Econometrics

Using the aforementioned representation, find the mean and variance of t. Also show the t ^2 follows f(1,v).

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ANSWER ALL QUESTIONS

For a positive integer v, let X~ t with degree of freedom v .

We know that X= Z/(Y/v), where Z ~ N(0,1) and Y ~ chi square with degree of freedom v ,are independently distributed .

Using the aforementioned representation, find the mean and variance of t. Also show the t ^2 follows f(1,v).

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