Prove the last convergence

Assignment Help Management Theories

Reference no: EM131449284

Question: Prove the last convergence.
As an example of the Wong-Zakai correction, we calculate the integral I = R b a w(s) dwS(s). The function f(x, t) in this case is f(x, t) = x, so that fx(x, t) = 1. Converting from the Stratonovich to the Itô integral according to the Wong-Zakai formula eq. (3.22) and using the previously derived result, we obtain

as in the ordinary integral calculus! This is not a fluke, actually, we have

1080_Convergence 1.png

Reference no: EM131449284

Questions Cloud

Client system role play reflection and analysis paper : SOCW 6101: Essential Skills for Social Work Practice - implement the GIM step and the practice skills you selected for the client interaction.

Estimated the company cost function : The economist for the Grand Corporation has estimated the company's cost function, using time series data, to be

Marginal cost are used in decision making : Discuss the concepts of total production, average production and marginal production. Relate production to cost and discuss how the ideas of total cost.

How can a global savings glut affect the united states : How can a global savings glut affect the United States? How is the interest rate that prevails in the bond market determined?

Prove the last convergence : As an example of the Wong-Zakai correction, we calculate the integral I = R b a w(s) dwS(s). The function f(x, t) in this case is f(x, t) = x.

Explain the technology your patient will use at home : Post the technology your patient will use at home and how will you connect with the patient using this technology.

Payoffs in a matrix and explain the strategy choices : What are the most preferred outcomes for both countries? List the payoffs in a matrix and explain the strategy choices.

Recession in canada influences us economic growth : Please provide equilibrium points and shifts on the graph, and a detailed explanation on how the recession in Canada influences U.S. economic growth.

What is toms effective annual rate : During the year the stock paid dividends of $6.04 per share. What is Tom’s effective annual rate?

User Account

All Pages