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probspace
2009 Dec 04
3
Combinations and joint probabilities
Dear R helpers
Suppose I have two sets of ranges (interest rates) as
Range 1 : (7 – 7.50, 7.50 – 8.50, 8.50 – 10.00) with respective probabilities 0.42, 0.22 and 0.36.
Range II : (11-12, 12-14, 14-21) with respective probabilities 0.14, 0.56 and 0.30 respectively.
My problem is to form the combinations of these ranges in a decreasing order of joint probabilities. It is assumed that