- Conditional Probability
- Probability of an event or outcome based on the occurrence of a previous event or outcome. Conditional probability is calculated by multiplying the probability of the preceding event by the updated probability of the succeeding event.
Conditional probabilities are contingent on a previous result. For example, suppose you are drawing three marbles - red, blue and green - from a bag. Each marble has an equal chance of being drawn. What is the conditional probability of drawing the red marble after already drawing the blue one? First, the probability of drawing a blue marble is about 33% because it is one possible outcome out of three. Assuming this first event occurs, there will be two marbles remaining, with each having a 50% of being drawn. So, the chance of drawing a blue marble after already drawing a red marble would be about 16.5% (33% x 50%).
Investment dictionary. Academic. 2012.
Look at other dictionaries:
Conditional probability — The actual probability of an event A may in many circumstances differ from its original probability, because new information is available, in particular the information that an other event B has occurred. Intuition prescribes that the still… … Wikipedia
conditional probability — Term for the probability of one event given, or conditional upon another. The process of conditionalizing is one of taking the probability of an event e occurring after another event e has occurred, to have the value that the conditional… … Philosophy dictionary
conditional probability — Statistics, Math. the probability that an event will occur under the condition that another event occurs first: equal to the probability that both will occur divided by the probability that the first will occur. [1960 65] * * * … Universalium
conditional probability — noun the probability that an event will occur given that one or more other events have occurred • Syn: ↑contingent probability • Hypernyms: ↑probability, ↑chance … Useful english dictionary
conditional probability — noun Date: 1937 the probability that a given event will occur if it is certain that another event has taken place or will take place … New Collegiate Dictionary
conditional probability — /kənˌdɪʃənəl prɒbəˈbɪləti/ (say kuhn.dishuhnuhl probuh biluhtee) noun the statistical probability of the occurrence of an event under the condition that only a portion of the cases or alternatives are to be considered … Australian English dictionary
conditional probability — likelihood of the occurrence of an event taking into account the occurrence of another event … English contemporary dictionary
Conditional probability distribution — Given two jointly distributed random variables X and Y, the conditional probability distribution of Y given X is the probability distribution of Y when X is known to be a particular value. If the conditional distribution of Y given X is a… … Wikipedia
Regular conditional probability — is a concept that has developed to overcome certain difficulties in formally defining conditional probabilities for continuous probability distributions. It is defined as an alternative probability measure conditioned on a particular value of a… … Wikipedia
Probability — is the likelihood or chance that something is the case or will happen. Probability theory is used extensively in areas such as statistics, mathematics, science and philosophy to draw conclusions about the likelihood of potential events and the… … Wikipedia