Probability and Statistics for Engineers and Scientists, Updated 9th Edition, by Pearson

Chapter 18

Bayesian Statistics

18.1 Bayesian Concepts

The classical methods of estimation that we have studied in this text are based solely on information provided by the random sample. These methods essentially interpret probabilities as relative frequencies. For example, in arriving at a 95% confidence interval for μ, we interpret the statement

to mean that 95% of the time in repeated experiments Z will fall between –1.96 and 1.96. Since

for a normal sample with known variance, the probability statement here means that 95% of the random ...