Understanding Statistical Probability: The Mistake of Overestimating Rare Events

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In summary, the conversation discusses a common mistake where people attribute low probability events to being miraculous, when in reality they are simply the result of a poorly conducted counting experiment. The example given is seeing two similar vehicle registration plates in a row. The person is curious about the name of this mistake and wants to learn more about it. They are encouraged to calculate the actual probabilities of such events to gain a better understanding.
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Probabil1ty
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I want to know the name of one little phenomena to learn more. I don't know how to explain it clearly, so please try to understand what i am trying to know.

The problem is: When you find a very low probability event you think about it like some kind of miracle, but you did not expected any kind of event, so this is not and question of math.

EXAMPLE(imagine a normal life situation): you standing on a street and doing nothing(waiting a friend) and you see a car with a vehicle registration plate with number 111, after a couple of minutes you see a car with number 112. And you think "O my god ! wow ! the probability of seeing those two registration plates is like one to million !" But you were not making an experiment on observing registration plates. You were not expected to see that numbers. Event has already happened and after that you made this conclusion. So this is completely wrong to say that it was kind a miracle and one to million probability.

So my question is: what the name of that mistake? I think this is an interesting topic and want to learn more.
Thanks
 
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this is simply a poorly run counting experiment. that particular event (seeing 111 then 112) does indeed have a probability of something like one in a million. But the probability of seeing any two numbers that are very alike, for example (n,p,m,) then (n,p,m+1), is much, much higher than one in a million.

if you really want to learn more about this mathematically, go ahead and calculate the probabilities of finding such events. that would be interesting to see.
 

FAQ: Understanding Statistical Probability: The Mistake of Overestimating Rare Events

What is a low probability mistake?

A low probability mistake is an error or incorrect decision that has a small chance of occurring. It is a mistake that is unlikely to happen, but can still have significant consequences.

Why do low probability mistakes happen?

Low probability mistakes can happen due to a variety of reasons. These can include human error, lack of knowledge or understanding, unforeseen circumstances, or faulty equipment or systems.

How can low probability mistakes be prevented?

Low probability mistakes can be prevented by implementing strict protocols and procedures, providing thorough training and education, regularly reviewing and updating systems, and having proper checks and balances in place.

What are the potential impacts of low probability mistakes?

The impacts of low probability mistakes can vary depending on the specific situation, but they can include financial loss, harm to individuals or the environment, damage to reputation, and disruption to operations.

How can low probability mistakes be mitigated?

Low probability mistakes can be mitigated by having contingency plans in place, conducting risk assessments, having backup systems or redundancies, and continuously monitoring and evaluating processes for improvement.

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