Conditional Expectation Normal Distribution

Bivariate Normal Distribution - Conditional Expectation

E[Y | X = x] when X and Y are correlated normal random variables. E[Y | X = x] = mu_y + sigma_y*rho*[(x - mu_x)/sigma_x] I show how to determine the conditional expectation of Y given X = x when X and Y are correlated normal random variables with correlation coefficient = rho.

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