Ch 7 - Basic Concepts of Probability Flashcards
analytic view
definition of probability in terms of an analysis of posible outcomes
relative frequency view
definition of probability in terms of past performance
sample w/ replacement
sampling in which the item drawn on trial N is replaced before the next draw
subjective probability
definition of probability in terms of personal subjective belief in the likelihood of an outcome
event
the outcome of a trial
independent events
events are independent when the occurrence of one has no effect on the probability of the occurrence of the other
mutually exclusive
two events are mutually exclusive when the occurrence of one precludes the occurrence of the other
exhaustive
a set of events that represents all possible outcomes
additive law of probability
the rule of giving the probability of the occurrence of one or more mutually exclusive events
Given a set of mutually exclusive events, the probability of the occurrence of one event or another is equal to the sum of their separate probabilities.
multiplicative law of probability
the rule giving the probability of the joint occurrence of independent events
The probability of the joint occurrence of two or more independent events is the product of their individual probabilities.
joint probability
the probability of the co-occurrence of two or more events
conditional probability
the probability that one event will occur given the occurrence of some other event
unconditional probability
the probability of one event ignoring the occurrence of nonoccurrence of some other event
risk
the number of occurrences on one event divided by the total number of occurrences of events - a probability
risk ratio
the ratio of two risks
