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When an individual sells a $100 bond to the Fed,she may either deposit the check she receives or cash it for currency.In both cases
Density Function
A mathematical function that describes the distribution of a continuous random variable, indicating the probability of the variable falling within a particular range.
Exponentially Distributed
Pertaining to a statistical distribution characterized by a constant rate of decay or growth over time.
Random Variable
A variable whose outcomes are determined by the occurrences of a random event.
Exponential Random Variable
A type of random variable that describes the time between events in a Poisson process, representing occurrences that happen at a constant rate.
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