Hi all..
I have one question. I am very thankfull for all suggestion
Let say that : y(i) = u(i) + v (i)
where A ( i) --> A subscript i ( or A for individual i where i = 1...)
u(i) ~ N (0, s) --> u (i) is normally distributed with mean = 0 and variance = s
v(i) ~N (0, t) -->
E ( u(i) , v(i) ) = 0
E ( u(i), u(j)) = 0
thus, unconditional y(i) ~ N( 0, s + t)
Now, the question is how to find :
E (v(i)|y(i) )) (conditional expectation of v(i) given y(i))
Thank you very much