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They are used to understand how to set insurance premiums.
Take, for example, car insurance.
The probability of a new driver getting in an accident is higher than an experienced driver.
The probability of a male driver getting in an accident is higher than an female driver (in general).
The probability of a person who has had many claims filing another claim is higher than someone who has never filed a claim.
All these data guide the insurance industry to charge higher premiums to drivers who are new, male or have filed claims in the past.
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How are probability and statistics related?
Probability is the theoretical basis that underpins statistics.
How is probability related to statistics?
Probability is related to statistics in a direct manner. When one is doing a research for statistics, probability has to be used especially in sampling a small region.
Who is the father of probability and statistics?
Einstien
What is differ of mean?
Probability/ Statistics
What was lengendre contribution to statistics?
Lengendre was the one who introduced the importance of probability to statistics.
How does the probability theory apply to statistics?
Statistics is the study of how probable an observed event is under a set of assumptions about the underlying probability distribution.
How useful probability in statistics?
Statistics is based on the theoretical foundation of probability.
How are probability and statistics related?
Probability is the theoretical basis that underpins statistics.
How is probability related to statistics?
Probability is related to statistics in a direct manner. When one is doing a research for statistics, probability has to be used especially in sampling a small region.
Who established the link between probability and staistics?
Statistics is based on probability theory so each and every development in statistics used probability theory.
Who is the father of probability and statistics?
Einstien
What is differ of mean?
Probability/ Statistics
What was lengendre contribution to statistics?
Lengendre was the one who introduced the importance of probability to statistics.
What symbol is used for probability of success in statistics?
A "p" is used for probability of success. A "q" is used for probability of failure.
What was pierre-simon laplace's contribution to statistics?
he is the one who introduce the importance of probability in statistics
Why were statistics developed?
To be able to understand the probability of chance for an occurrence and to further understand probability
When is probability theory used in statistics?
All the time. Statistic is based on the application of probability theory!
