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Updating Beliefs: Advanced Bayes' Theorem

Bayes' Theorem with Multiple Observations

Bayes' Theorem provides a powerful framework for updating our belief about a hypothesis (H) given new evidence (E): P(H|E) = [P(E|H) * P(H)] / P(E).

When we have multiple pieces of evidence (e.g., observing several friends), and these pieces of evidence are conditionally independent given the hypothesis, we can extend this. This means that if we know the hypothesis is true (e.g., it's raining), the observation of one friend having an umbrella doesn't change the probability of another friend having an umbrella (beyond what's already explained by the rain).

Calculating Combined Likelihoods

If E₁, E₂, ..., En are conditionally independent pieces of evidence given H, then the likelihood of observing all this evidence given H is:
P(E₁, E₂, ..., En | H) = P(E₁|H) × P(E₂|H) × ... × P(En|H).

This combined likelihood is then used in Bayes' Theorem to update our prior belief P(H).

Seattle Rain & Three Friends

ADVANCED

In Seattle, it rains on 60% of days. If it is raining, 80% of people you see will be carrying an umbrella. If it is not raining, 20% of people you see will still be carrying an umbrella (perhaps they are cautious or forgot to check the weather).

You look outside and see three of your friends, and all three of them are carrying umbrellas. Assuming their decisions to carry umbrellas are independent of each other given the weather, what is the probability that it is actually raining in Seattle?

What If? How would the probability change if only one friend was seen with an umbrella? What if two out of three had umbrellas?

 

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