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Log-concave probability and its applications

  • Mark Bagnoli
  • Ted Bergstrom
Conference paper
Part of the Studies in Economic Theory book series (ECON.THEORY, volume 26)

Summary

In many applications, assumptions about the log-concavity of a probability distribution allow just enough special structure to yield a workable theory. This paper catalogs a series of theorems relating log-concavity and/or log-convexity of probability density functions, distribution functions, reliability functions, and their integrals. We list a large number of commonly-used probability distributions and report the log-concavity or log-convexity of their density functions and their integrals. We also discuss a variety of applications of log-concavity that have appeared in the literature.

Keywords and Phrases

Log-concavity Reliability Hazard functions Probability distributions Failure rates Costly appraisals Mean residual lifetime 

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Copyright information

© Springer-Verlag Berlin Heidelberg 2006

Authors and Affiliations

  • Mark Bagnoli
    • 1
  • Ted Bergstrom
    • 2
  1. 1.Department of AccountingPurdue UniversityWest LafayetteUSA
  2. 2.Department of EconomicsUC Santa BarbaraSanta BarbaraUSA

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