Brownian Motion: Simulating a Fully Continuous Stochastic Process In earlier posts, we looked at two important stochastic models: The next step is Brownian motion, a process that is continuous both in time and in the values it takes.You can think of…
Incremental Computation of Mean and Variance In the previous article, we introduced different ways of computing the average (mean) of a dataset. However, the formula assumes that we already have all the data available at once. But what if new…