Lesson 15: Python Loops for Monte Carlo Simulation

March 7, 2018

Review:

• Importing CSV
• Pandas and DataFrames
• Exam 2 on Wed, Mar 14

Presentation:

• Loops
  • for loops
  • while loops
  • Remember the Selling Price Estimates program? It has a “for” loop.
  • Here’s an example of a nested “while” loop: Sample Code
• Monte Carlo Simulation
  • Same as “Random Walk”
  • Enables “probabilistic” forecasts/estimates/etc

Assignment:

• Complete Intermediate Python for Data Science course on DataCamp
  • Complete all chapters before beginning this programming assignment
• Create a Python program on repl.it simulating a simple Dice Game:
  • Roll 7, 11 or doubles to win
  • Other rolls (not 7, 11 or doubles) result in a loss
  • Start with $100
    • bet $1 per roll
    • win pays $3 (a losing roll means you lose your $1 bet)
    • roll 100 times and find ending balance
    • simulate 100 outcomes (10,000 total rolls of the dice)
  • Report the mean and standard deviation of your final balances
  • Produce a histogram illustrating the distribution of results
  • Submit your assignment
    • Email me a link to your repl.it program
    • You’ll be scored on the program content + timeliness
      • Speed counts, i.e., no due date, earlier submission = better score
      • Submit your own program before helping others