Explanation

In statistics, kurtosis measures the "tailedness" and peakedness of a probability distribution compared to the normal distribution. There are three main types of kurtosis:

1. Leptokurtic (Positive Kurtosis): A distribution that is more peaked than normal with fatter tails. Leptokurtic distributions have excess kurtosis greater than 0.

2. Mesokurtic: A distribution with kurtosis similar to the normal distribution. The normal distribution has a kurtosis of 3 (or excess kurtosis of 0).

3. Platykurtic (Negative Kurtosis): A distribution that is less peaked than normal with thinner tails. Platykurtic distributions have excess kurtosis less than 0.

Since the question asks for a distribution that is "more peaked than normal," the correct answer is Leptokurtic.

Key Points:

• Leptokurtic = More peaked, fatter tails
• Mesokurtic = Normal distribution shape
• Platykurtic = Less peaked, thinner tails

This concept is important in quantitative methods for understanding distribution characteristics and risk assessment, particularly in finance where fat tails indicate higher probability of extreme events.