CS2 - Loss Distribution R Coding (Pareto Distribution)

Dear Team,

Hope you are doing well.

As per Core reading, it is mentioned that
The basic R packages do not include functions for the two‐parameter Pareto distribution. So, we are creating the below function in R.

rpareto <- function(n,a,l){
rp <- l*((1-runif(n))^(-1/a)-1)
rp
}
However, there is an inbuilt function in R for Pareto distribution, if we install the EnvStats package in R

dpareto(x, location, shape = 1)
ppareto(q, location, shape = 1)
qpareto(p, location, shape = 1)
rpareto(n, location, shape = 1)

Similarly, for Burr Distribution by installing the package actuar.

So, can we use the above-inbuilt function in R during the examination?

 

Hi I would prefer creating a function myself.
For e.g. Burr
a=2;l=1000;g=0.75;
rburr <- function(n){(l*((1-runif(n))^(-1/a)-1))^(1/g)}
dburr <- function(x){x*((a*g*l^a)*x^(g-1))/((l+x^g)^(a+1))}
pburr <- function(q){1-(l/(l+q^g))^a}
qburr <- function(p){q <- (l*((1-p)^(-1/a)-1))^(1/g)q}
rburr(10,a,l,g)