Chapter 14: From Randomness to Probability Flashcards

1
Q

Define ‘Random phenomenon’.

A

A phenomenon is random is we know what outcomes could happen, but not which particular values will happen.

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2
Q

Define ‘Trial’.

A

A single attempt or realization of a random phenomenon’.

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3
Q

Define ‘Outcome’.

A

The value measured, observed, or reported for an individual instance of a trial.

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4
Q

Define ‘Event’.

A

A collection of outcomes. Usually, we identify events so that we can attach probabilities to them. We denote events with bold capital letters, such as A, B, or C.

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5
Q

Define ‘Sample space’.

A

The collection of all possible outcome values. The sample space has a probability of 1.

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6
Q

Define ‘Law of Large Numbers’.

A

The relative frequency of an event in repeated INDEPENDENT trials gets closer and closer to its true or long-run relative frequency as the number of trials increases. Note that it speaks only of long-run behavior and we need to be careful not to misinterpret. Even when we’ve observed a string of heads, we shouldn’t expect extra tails in subsequent coin flips.

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7
Q

Define ‘Independence (informally)’.

A

Two events are independent if learning that one event occurs does not change the probability that the other event occurs.

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8
Q

Define ‘Probability’.

A

The probability of an event is a number between 0 and 1 that reports the likelihood of an event’s occurrence. We write P(A) for the probability of the event A.

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9
Q

Define ‘Empirical probability’.

A

The long-run relative frequency of an event’s occurrence. The Law of Large Numbers assures us of its existence, when we can perform repeated independent trials.

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10
Q

Define ‘Theoretical probability’.

A

The probability that comes from a model (such as equally likely outcomes).

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11
Q

Define ‘Personal probability’.

A

A probability that is subjective and represents your personal degree of belief.

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12
Q

Define ‘Probability assignment rule’.

A

A probability is a number between 0 and 1. For any event A, 0 ≤ P(A) ≤ 1.

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13
Q

Define ‘Total probability rule’.

A

Since the probability of any event is between 0 and 1, inclusive, the entire sample space must be 1. P(S) = 1.

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14
Q

Define ‘Disjoint or mutually exclusive’.

A

Two events are disjoint if they share no outcomes in common. If A and B are disjoint, then knowing that A occurs tells us that B cannot occur. Disjoint events are also called mutually exclusive events.

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15
Q

Define ‘Addition rule for disjoint events’.

A

If A and B are disjoint events, then the probability of A or B is P(A + B) = (P(A) + P(B).

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16
Q

Define ‘Legitimate probability assignment’.

A

An assignment of probabilities to outcomes is legitimate if:

  • each probability is between 0 and 1 (inclusive)
  • the sum of the probabilities is 1.
17
Q

Define ‘Complement rule’.

A

The probability of an event occurring is 1 minus the probability that it doesn’t occur. P(A) = 1 - P(A^C).

18
Q

Define ‘General addition rule’.

A

For any two events, A and B, the probability of A or B is P(A or B) = P(A) + P(B) - P(A and B).

19
Q

Probability is usually based on ___-___ relative frequencies.

A

Long-run.

20
Q

What are some basic rules for combining probabilities of outcomes to find probabilities of more complex events?

A
  • The probability assignment rule
  • The total probability rule
  • The additions rule for disjoint events
  • The complement rule
  • The general addition rule