IDEAS home Printed from https://ideas.repec.org/h/spr/sprchp/978-3-319-76042-1_10.html

Bivariate Lognormal

In: Probability Distributions

Author

Listed:
  • Nick T. Thomopoulos

    (Illinois Institute of Technology, Stuart School of Business)

Abstract

When two variables are jointly related by the bivariate lognormal distribution, their marginal distributions are lognormal. At first, the distribution appears confounding due to the lognormal characteristics of the variables. By taking the log of each marginal distribution, a pair of normal marginal distributions evolve, and these are jointly related by the bivariate normal distribution described in Chap. 8 (Bivariate Normal). The bivariate normal is defined with the mean and standard deviation of each normal variable and by the correlation between them. These five parameters become the parameters for the counterpart bivariate lognormal distribution. The chapter shows how the mean and variance from the normal is transformed to the mean and variance for the lognormal. Also described is how to compute the correlation of the lognormal from the normal parameters. When sample data is distributed as bivariate lognormal, converting some data and applying the bivariate normal tables of Chap. 8 allow computation for a variety of joint probabilities.

Suggested Citation

  • Nick T. Thomopoulos, 2018. "Bivariate Lognormal," Springer Books, in: Probability Distributions, chapter 0, pages 149-158, Springer.
    • Handle: RePEc:spr:sprchp:978-3-319-76042-1_10
    DOI: 10.1007/978-3-319-76042-1_10
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:sprchp:978-3-319-76042-1_10. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.