Multivariate distributions

Multivariate distributions describe the probabilities of multiple related variables occurring together. Instead of looking at one variable at a time, they analyze how two or more variables interact and influence each other. For example, in finance, a multivariate distribution might show how stock prices and interest rates move together. These distributions help understand complex systems where variables are interconnected, providing insights into their joint behavior, variability, and likelihood of different combinations occurring simultaneously. They are essential in fields like statistics, economics, and science for modeling real-world phenomena involving multiple interrelated factors.