Under a risk-neutral measure, the discounted stock must be a martingale. If is the probability of the factor , this condition is
so
The hypothesis ensures , making this equivalent to the original probability measure. Since the returns are independent under , the number of up moves has a binomial distribution, and hence
For fixed disjoint , the random variable has the binomial distribution . A two-sided Chernoff bound gives
When , this is at most
There are at most ordered disjoint pairs , since each vertex can lie in , in , or in neither. The union bound therefore makes the probability of any failure at most
which proves the simultaneous estimate.
Let
Here has the binomial distribution with parameters . Part a, now with independent coordinates, gives
By Pinsker's inequality, the probability mass functions therefore converge in total variation, and in particular converges in distribution to .
The joint probability of the observed row depends only on :
Taking logarithms in any fixed base and choosing gives
where
The convergence lemma supplied in the question now yields
This sparse triangular array therefore has a random limiting normalized self-information rather than the constant limit in the usual asymptotic equipartition property.
Explore the connected component of a graph containing a fixed vertex by Breadth-first search. If the exploration discovers at least vertices, then before its th discovery at least of at most tested potential edges must be present. The tests are independent Bernoulli trials with parameter , so
The binomial distribution on the right has mean . For , the exponential Markov bound gives
for an absolute constant . The union bound over the choices of now gives
Taking with makes this probability tend to zero. This proves the subcritical component bound for a binomial random graph.
Under the boundary null , rejection requires both and . Independence of the two binomial distributions gives
The rejection event is increasing in , so this boundary value is the supremum over the composite null .
For players with independent valuations having a continuous distribution function , a type occupies rank when exactly rivals have higher values. Multiplying this binomial distribution by the rank prize and summing gives . Ties occur only on zero-probability events when the valuation law is atomless.
Uniform balls-in-bins allocation Created 2026-10-06 Updated 2026-10-07
Place labelled balls independently into labelled bins, each with probability . The vector of bin counts has a multinomial distribution, and each count separately has the binomial distribution . Distinct bin counts have covariance , so they are dependent for and . Counts of bins of a specified size are sums of indicator variables; their expectations follow from the linearity of expectation, without any independence between bins.
Uniform prior Created 2026-10-05 Updated 2026-10-06
A uniform prior on a finite-volume parameter region assigns constant probability density there and zero outside. On it is , giving a Beta distribution posterior after binomial distribution data. Uniformity depends on the coordinate: a nonlinear reparametrization introduces a Jacobian and generally does not preserve a uniform density.
Start with the empty graph and reveal the edges of the complete graph in a uniformly random order. After steps its edge set is a uniform -element subset. Independent uniform edge labels couple this process with all binomial random graphs: , where has a binomial distribution with parameters . For a monotone graph property, concentration of transfers a threshold estimate between edge probability and edge count.