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7/3/2012




                                                                   Let D denote the event that an IC is defective
                                                                   Let DR denote the event that ‘reliable’ test finds the IC to be defective


                                                                   Given, P(D) = .005           P[DR| D] = 198/200 = 0.99
                                                                   P [DR| not D] = 8/160 = 0.05

            How reliable is Reliable?
                                                                   P[DR] = P[DR and D] + P[DR and not D]
                                                                         = P[D] × P[DR| D] + P[not D] × P[DR| not D]
                                                                         = 0.005 × 0.99 + 0.995 × 0.05 = 0.00495 +0.04975 = 0.0547

                                                                   P[D| DR] = P[DR and D] / P[DR] = 0.00495/0.0547 = 0.0905
                                                                   P[not D| DR] = 0.9095




                                                                               If Reliable finds the IC to be
       Same calculation using table
                                                                                       not defective
      Events   Prior Prob   P[DR|..]   P[DR and ..]   P[..|DR]           Events      Prior Prob    P[not DR|..]   P[not DR     P[..|not DR]
                                           (iii)         (iv)                                                      and ..]
                   (i)        (ii)       =(i)*(ii)  =(iii)/P[DR]                          (i)           (ii)        (iii)
        D        0.005       0.99        0.00495      P[D| DR]             D            0.005          0.01       0.00005      P[D| not DR]
                                                      =0.0905                                                                   =0.000053

      Not D      0.995       0.05        0.04975    P[not D| DR]         Not D          0.995          0.95        0.94525       P[not D|
                                                      =0.9095                                                                    not DR]
                                                                                                                                =0.999947

      Sum          1                     P[DR]=                          Sum              1                       P[not DR]=
                                         0.0547                                                                     0.9453




                       Bayes Rule                                               Bayes Rule -- using table

                                P[ A]× P[B | A]                          events      Prior Prob      P[B|Ai]       P[BAi]        P[Ai|B]
P[ A | B] = P[PA∩]B] =
               [B
                                                                                       P[Ai]
                                                                                                       (ii)
                                                                                                                     (iii)
                                                                                                                   =(i)*(ii)
                                                                                                                                    (iv)
                                                                                                                                =(iii)/P[B]
                            P[ A ∩ B] + P[ B ∩ Ac ]                        A1
                                                                                        (i)
                                                                                       P[A1]         P[B|A1]       P[A1B]       P[A1| B]

                                                                           A2          P[A2]         P[B|A2]       P[A2B]       P[A2| B]

              P[ A]× P[ B | A]                                             Ak          P[Ak]         P[B|Ak]       P[AkB]       P[Ak| B]
=
    P[ A] × P[B | A] + P[ Ac ]× P[ B | Ac ]                              Sum              1                        P[B]




                                                                                                                                                    1
7/3/2012




 First Can contains 10 marbles: 7 red & 3 blue
                                                                                                                                Monty Hall Problem
                                               Second Can contains 4 blue & 1 red                                                       or
                                                                                                                                 ‘Khul Ja SimSim’
                                                                                                     • The car is behind one of the 3 doors.
                                                                                                     • You select door A.
                                                                                                     • Aman Verma (who knows where the car is)
                                                                                                       opens door B and shows that this is empty.
  1 marble                                                               1 marble
                                                                                                       Gives you an option of “switch”.
                                                                                                     • Should you stick to your initial choice?
                                                                 The marble drawn from
                                                                 the Box is found to be
                                                                 blue. What is the prob.
P(the marble drawn from the                                      that it came from Can2?
  Box is blue)=?
                                                1 marble




                        Solution to KJSS                                                                     Will the new product do well?
                                                                                                      Combine prior opinion with pilot survey
                        P(door B is opened        P( correct door is      P( correct door is
             Prior
Correct                    given you select            and door B is          given Door B is
             Probabi
  Door                    door A and correct          opened and you          opened and you                                                                              PRIOR PROB
                lity
                               door is..)             selected door A)        selected door A)                                                                                60%
                                                                                                  Will do well = 40% of potential customers will like it
                                                                                                  Won’t do well = 20% will like it                                            40%

  A          1/3                1/2                        1/6                      1/3

  B          1/3                0                          0                        0             Pilot survey: from 25 potential customers

  C          1/3                1                          1/3                      2/3
                                                                                                                    X like it
                                                                                                                                                           Is it easier to find
                                                                                                                                                           P[B|A] ?

                                                                                                 Want P[will do well | X out of 25 like it]
                       P(door B is
                          opened)                          1/2                                                     A
                                                                                                                                         B




                                                                                                                                                                                             2

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Session 4

  • 1. 7/3/2012 Let D denote the event that an IC is defective Let DR denote the event that ‘reliable’ test finds the IC to be defective Given, P(D) = .005 P[DR| D] = 198/200 = 0.99 P [DR| not D] = 8/160 = 0.05 How reliable is Reliable? P[DR] = P[DR and D] + P[DR and not D] = P[D] × P[DR| D] + P[not D] × P[DR| not D] = 0.005 × 0.99 + 0.995 × 0.05 = 0.00495 +0.04975 = 0.0547 P[D| DR] = P[DR and D] / P[DR] = 0.00495/0.0547 = 0.0905 P[not D| DR] = 0.9095 If Reliable finds the IC to be Same calculation using table not defective Events Prior Prob P[DR|..] P[DR and ..] P[..|DR] Events Prior Prob P[not DR|..] P[not DR P[..|not DR] (iii) (iv) and ..] (i) (ii) =(i)*(ii) =(iii)/P[DR] (i) (ii) (iii) D 0.005 0.99 0.00495 P[D| DR] D 0.005 0.01 0.00005 P[D| not DR] =0.0905 =0.000053 Not D 0.995 0.05 0.04975 P[not D| DR] Not D 0.995 0.95 0.94525 P[not D| =0.9095 not DR] =0.999947 Sum 1 P[DR]= Sum 1 P[not DR]= 0.0547 0.9453 Bayes Rule Bayes Rule -- using table P[ A]× P[B | A] events Prior Prob P[B|Ai] P[BAi] P[Ai|B] P[ A | B] = P[PA∩]B] = [B P[Ai] (ii) (iii) =(i)*(ii) (iv) =(iii)/P[B] P[ A ∩ B] + P[ B ∩ Ac ] A1 (i) P[A1] P[B|A1] P[A1B] P[A1| B] A2 P[A2] P[B|A2] P[A2B] P[A2| B] P[ A]× P[ B | A] Ak P[Ak] P[B|Ak] P[AkB] P[Ak| B] = P[ A] × P[B | A] + P[ Ac ]× P[ B | Ac ] Sum 1 P[B] 1
  • 2. 7/3/2012 First Can contains 10 marbles: 7 red & 3 blue Monty Hall Problem Second Can contains 4 blue & 1 red or ‘Khul Ja SimSim’ • The car is behind one of the 3 doors. • You select door A. • Aman Verma (who knows where the car is) opens door B and shows that this is empty. 1 marble 1 marble Gives you an option of “switch”. • Should you stick to your initial choice? The marble drawn from the Box is found to be blue. What is the prob. P(the marble drawn from the that it came from Can2? Box is blue)=? 1 marble Solution to KJSS Will the new product do well? Combine prior opinion with pilot survey P(door B is opened P( correct door is P( correct door is Prior Correct given you select and door B is given Door B is Probabi Door door A and correct opened and you opened and you PRIOR PROB lity door is..) selected door A) selected door A) 60% Will do well = 40% of potential customers will like it Won’t do well = 20% will like it 40% A 1/3 1/2 1/6 1/3 B 1/3 0 0 0 Pilot survey: from 25 potential customers C 1/3 1 1/3 2/3 X like it Is it easier to find P[B|A] ? Want P[will do well | X out of 25 like it] P(door B is opened) 1/2 A B 2