Bayesian Statistics: An Introduction, 4th Edition

6.4 Conjugate prior for the bivariate regression model

6.4.1 The problem of updating a regression line

In Section 6.3, we saw that with the regression line in the standard form the joint posterior is

For reasons that will soon emerge, we denote the quantities derived from the data with a prime as , , , , , , , etc. In the example on rainfall, we found that and

Now suppose that we collect further ...