Bayes' theorem, also called Bayes' rule or Bayesian theorem, is a mathematical formula used to determine the conditional probability of events. The theorem uses the power of statistics and probability ...

Learn how prior probability informs economic theory and decision-making in Bayesian statistics. Understand its role before collecting new data.

We live in a world where a lot of things seem to happen by pure chance, from winning the Lotto to losing your car keys. But the truth is, the likelihood of many everyday things happening is heavily ...

It’s estimated that human adults make about 35,000 decisions a day — the percentage of good decisions depends on the adult. These choices can be as banal as deciding to roll or crumple toilet paper or ...

This paper concerns the use of empirical Bayes methods to improve the efficiency of a parameter of interest, θ, in the presence of many nuisance parameters, {φi}, one from each data stratum. A class ...

Virtually all computations performed by the nervous system are subject to uncertainty and taking this into account is critical for making inferences about the outside world. For instance, imagine ...