expected value


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ex·pect·ed value

(ĭk-spĕk′tĭd)
n.
1. A quantity expressing a typical or average value of a random variable.
2. The sum (for discrete variables) or integral (for continuous variables) of the product of a random variable with its probability density function, over its range of values.

expected value

n
(Statistics) statistics the sum or integral of all possible values of a random variable, or any given function of it, multiplied by the respective probabilities of the values of the variable. Symbol: E(X). E(X) is the mean of the distribution; E(X–c) = E(X)–c where c is a constant. Also called: mathematical expectation
ThesaurusAntonymsRelated WordsSynonymsLegend:
Noun1.expected value - the sum of the values of a random variable divided by the number of valuesexpected value - the sum of the values of a random variable divided by the number of values
statistics - a branch of applied mathematics concerned with the collection and interpretation of quantitative data and the use of probability theory to estimate population parameters
mean, mean value - an average of n numbers computed by adding some function of the numbers and dividing by some function of n
References in periodicals archive ?
Part of expected value is understanding the probability or odds of a situation.
In total, the expected value of probabilities still comes up with a positive 0.08 percent.
Monitoring of mine tailings storage facilities could provide better levels of confidence that the facility is performing as intended if regular monitoring data measurements were compared to expected values, rather than just being checked for changes, according to two engineers at SRK Consulting in South Africa.
(23) Expected value is a concept in probability theory that provides a weighted average of the likelihood and magnitude of injury.
With two fewer players in the mix, the odds spike to 39.05 percent, with a slightly lower expected value (2.099) because traditionally there is less money on the table.
have the same value to the applicant, (72) a claim's expected value
So, its expected value [MATHEMATICAL EXPRESSION NOT REPRODUCIBLE IN ASCII] is also equal to [??]([mu] + [delta], ..., [mu] + [delta]) with probability 1, and thus, the equality that described that this estimate is unbiased takes the form
For winter wheat farmers with moderate risk aversion in Hyde County, S.D., we estimate that the expected value of claims payments is $17.23 per acre under the coinsurance program above, but only $17.22 under the indifferent deductible program with an 86% threshold, so the risk premium is $0.01 per acre.
the risky choice has the same expected value. (2) Now imagine another
When conducting the test, the author divided the number of observations in each row of the table by the number of columns to arrive at the expected values for each cell of the expected contingency table (not shown in article) instead of using the formula expected value = [(2 Row*2 Column)/n].
According to The Sydney Morning Herald, just one third of those surveyed believe Facebook's expected value is appropriate, and 50 percent say it is too high.
In the second stage, the decision makers calculate for each action x two values: (1) the expected value given the estimated composite distribution (denoted [est.sub.x]), and (2) the minimum expected value over all reasonable distributions in the set [Y.sup.[omicron]] (denoted [min.sub.x]).