(a) Assuming a > k ≥ 1, find the k-th moment E(Xk). (b) Find the mean E(X) and variance V(X).

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Practice 4. Vilfredo Pareto, Italian civil engineer, economist, and sociologist, showed that
approximately 80% of the land in Italy was owned by 20% of the population. The Pareto
distribution, named after his names, describes the 80/20 rule and has been used to explain
inequalities in society. The cumulative distribution function (cdf) of the Pareto distribution
is given by
-{i.
Fx(x) =
x-a
(b) Find the mean E(X) and variance V(X).
x < 1,
x ≥ 1,
where a > 0 is a shape parameter.
(a) Assuming a > k ≥ 1, find the k-th moment E(X).
Transcribed Image Text:Practice 4. Vilfredo Pareto, Italian civil engineer, economist, and sociologist, showed that approximately 80% of the land in Italy was owned by 20% of the population. The Pareto distribution, named after his names, describes the 80/20 rule and has been used to explain inequalities in society. The cumulative distribution function (cdf) of the Pareto distribution is given by -{i. Fx(x) = x-a (b) Find the mean E(X) and variance V(X). x < 1, x ≥ 1, where a > 0 is a shape parameter. (a) Assuming a > k ≥ 1, find the k-th moment E(X).
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