Bayes’ Theorem: idea, importance, and how to use it
What is Bayes’ Theorem? Bayes’ Theorem can be interpreted in several ways, but it requires us to introduce more definitions and terminologies, depending on the applications. Since our goal is to keep things simple and intuitive, we say that Bayes’ Theorem is a formula for inverting conditional probability: $$P[A|B] = \frac{P[B|A]\cdot P[A]}{P[B]}$$ Think about the following…