Statistics › Section N · Counting, Bayesian inference, and multiple regression › Topic N.2

Bayes' theorem as learning from evidence

Swapping P(positive | disease) for P(disease | positive) is one of the commonest errors in probability. Bayes' theorem is the correct way to make that reversal: a rule for turning evidence into updated belief, one observation at a time.

In this topic

  • The reversal the fallacy needs
  • Prior, likelihood, posterior
  • Bayes' theorem, exactly
  • Worked example: the medical test, reversed properly
  • Worked example: evidence accumulates
  • The odds form
  • Choosing priors honestly
  • Sequential updating everywhere
  • Common mistakes to avoid
  • Key takeaways

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