Artificial Intelligence By Example

Step 4 naive Bayes equation

The goal now is to represent each variable of the Bayes' theorem in a naive Bayes equation to obtain the probability of having demand for product P and trigger a purchase scenario for the blockchain network. Bayes' theorem can be expressed as follows:

• P(Yes|Blocks)=P(Blocks|Yes) * P(Yes)/P(Blocks)
• P(Yes)=8/10 = 0.8
• P(Blocks)=5/10 = 0.5
• P(Blocks|Yes)=4/8 = 0.5
• P(Yes|Blocks)=(0.5*0.8)/0.5 = 0.8

The demand looks acceptable. However, penalties must be added and other factors must be considered as well (transportation availability through other block exploration processes).

This example and method show the concept ...