Objective probability estimates the odds of an event occurring through data analysis. It uses concrete measures instead of guesses to provide a reliable forecast.

a priori Probability: the probability that we determine from knowing the process by which the uncertain event happens (by logically examining existing information). Certain Event: event that is sure ...

The likelihood of all possible outcomes. The common example of a probability distribution is a coin toss, and the bell curve is the common expression of the distribution of events. THIS DEFINITION IS ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...