I am going to unmark this solution, because I am not sure this is consider a binomial distribution.
A person has a portion of money and allocates the money by some sort of payoff between two goods.
How can giving 50 of 100 dollars to the y-good be seen as 50 success of 100?
So your saying giving y_i of y_max tokens is seen as y_i success with probability p?
Remember an observation is generation by a single person.
So, I am not sure if that follows the following requirement for a Binomial:
– Each observation falls into one of just two categories: success
vs. failure, male vs. female, child vs. adult
– The n observations are all independent
– The probability of success, call it p, is the same for each
observation
I appreciate the help a lot, but I think I need some sort of justification for using a binomial.
I don’t think this is a sequence of successful events.