Pareto Distribution Variance Calculator

Enter the scale parameter $x_{m}$ and the shape parameter $α$ to calculate the variance of the Pareto distribution.

* Note: The variance exists only if $α > 2$ . For $α \leq 2$ , the variance is undefined (infinite).

Step 1: Enter Parameters

Scale Parameter,

x_{m}

e.g., 1

Shape Parameter,

α

e.g., 3 (must be greater than 2 for the variance to exist)

The variance of the Pareto distribution is given by: $Var (X) = \frac{x_{m}^{2} α}{(α - 1)^{2} (α - 2)} for α > 2.$

If $α \leq 2$ , the variance is undefined (infinite).