II · Probability & randomness

Bayes theorem

What it is

P(A∣B) = P(B∣A) · P(A) / P(B). The rule for updating beliefs given evidence.

Where it lives

Spam filters, medical tests, A/B test priors, every Bayesian inference engine.

The key insight

Counterintuitive when P(A) is small: a 99%-accurate test on a 1-in-1000 disease still gives ~9% true-positive rate.