Index: The Book of Statistical ProofsGeneral Theorems ▷ Probability theory ▷ Probability ▷ Probability

Definition: Let $E$ be a statement about an arbitrary event such as the outcome of a random experiment. Then, $p(E)$ is called the probability of $E$ and may be interpreted as

• (objectivist interpretation of probability:) some physical state of affairs, e.g. the relative frequency of occurrence of $E$, when repeating the experiment (“Frequentist probability”); or

• (subjectivist interpretation of probability:) a degree of belief in $E$, e.g. the price at which someone would buy or sell a bet that pays 1 unit of utility if $E$ and 0 if not $E$ (“Bayesian probability”).

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Metadata: ID: D48 | shortcut: prob | author: JoramSoch | date: 2020-05-10, 19:41.