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

a priori Probability: the probability that we determine from knowing the process by which the uncertain event happens (by logically examining existing information). Certain Event: event that is sure ...

You're currently following this author! Want to unfollow? Unsubscribe via the link in your email. Follow Andy Kiersz Every time Andy publishes a story, you’ll get an alert straight to your inbox!