Stocks & Commodities V. 25:2 (44-48): Sidebar: Gaussian Distribution by Radha Panini
The Gaussian distribution is a symmetric bell-shaped
curve. It is fully described by two parameters, the mean µ and the variance •2. The mean determines the location of the center of the curve (the point about which it is symmetric) while •2 determines the shape of the curve. A larger value of •2 gives a flatter distribution curve, whereas a smaller value gives a narrower curve.