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Exercise

Calculate the probability (3)

Consider the same two random variables \(X\) and \(Y\) with \(\mu_X = 0.05\) and \(\mu_Y = 0.025\), \(\sigma_X = 0.10\), \(\sigma_Y = 0.05\). The correlation between \(X\) and \(Y\) is \(\rho\).

If \(\rho = -0.9\) what is \(Pr(X < = 0,Y < = 0)\)?

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