Subjective probability, Mathematics

Assignment Help:

Subjective Probability

Probability may be determined by a personal statement of how likely an outcome is in a single trial or repetition of the same experiment.

Since subjective probabilities are based on personal judgement, they are peculiar to the individual making the decision. The probability statement depends upon the individual's experience and his familiarity with the facts of the case. Two decision makers with the same amount of information would make different subjective probability estimates of the occurrence of a particular event.

Example 

An expert analyst of share prices may give his judgement that the price of ACC shares has a 20% probability of increase i.e., by Rs.500 or more in the next two months, a 60% probability of increase i.e., by less than Rs.500 in the next two months and a 20% probability of remaining unchanged or registering a slight fall.

 


Related Discussions:- Subjective probability

Integers, Whats some negative integers that equal 36

Whats some negative integers that equal 36

Application of linear function, four times an unknown number is equal to tw...

four times an unknown number is equal to twice the sum of five and that unknown number

Sketch the graphs, Sketch the graphs of the following functions: (A) y =...

Sketch the graphs of the following functions: (A) y = 1/(x 2 +1) (b) x=  sin x,

Saxon math, what is the are of a square that is 2 inches long and 2 inches...

what is the are of a square that is 2 inches long and 2 inches wide?

Determine the fraction of the time, Ipswich has two ambulances. Ambulance 1...

Ipswich has two ambulances. Ambulance 1 is based at the local college and ambulance 2 is based downtown. If a request for an ambulance comes from the local college, the college-bas

The prerequisites for multiplication, THE PREREQUISITES FOR MULTIPLICATION ...

THE PREREQUISITES FOR MULTIPLICATION : The word 'multiply', used in ordinary language, bears the meaning 'increase enormously For instance, bacteria multiply in favourable conditi

Geometry, how do you find the length of a parallel line connecting two exte...

how do you find the length of a parallel line connecting two external circles of different sizes from the outside, given the value of both radius and one parallel line.

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd