Stat 20: Intro to Probability and Statistics Lecture 15: Law of Averages Tessa L. Childers-Day UC Berkeley 21 July 2014 Exams Today’s Goals Recap Law of Averages Box Models Exam Performance In general, scores were about typical Total Possible Points = 70 Minimum = 31 points Mean = 50.47 points Median = 52 points SD = 9.52 points Maximum = 67 points The maximum possible points were achieved for each problem by at least one student 2 / 25 Exams Today’s Goals Recap Law of Averages Box Models Exam Performance (cont.) 0.05 Objective Grades Using the RAW scores: 38.5% of class scored below 49 (D or F) 0.03 Density 0.02 0.01 28.9% of class scored 49 to 56 (C) 0.00 23% of class scored 56 to 63 (B) 0.04 9.6% of class scored 63 or above (A) A (9.6%) B (23%) C (28.9%) 30 40 50 60 70 Total Score 3 / 25 Exams Today’s Goals Recap Law of Averages Box Models Exam Performance (cont.) 0.05 Adjusted Grades 7.7% of class scored below 34 (D or F) Density 0.02 0.01 0.00 38.4% of class scored 34 to 52 (C) 0.03 21% of class scored 60 or above (A) 32.6% of class scored 52 to 60 (B) A (21%) B (32.6%) C (38.4%) 0.04 ROUGHLY speaking, this translates to: 30 40 50 60 70 Total Score 4 / 25 Exams Today’s Goals Recap Law of Averages Box Models Exam Performance (cont.) If you scored below a 40 OR you want to improve your score, ask: 1 Are you attending lecture and section? 2 Are you paying attention/taking notes in lecture and section? 3 Are you participating/asking questions in lecture and section? 4 Are you reading the book and doing the practice problems (unassigned exercise sets)? 5 Are you attending office hours to ask questions? You should be doing ALL of these things to maximize your understanding (and thus your grade) 5 / 25 Exams Today’s Goals Recap Law of Averages Box Models Re-grade Policy You are welcome to request that your exam be re-graded, but the following guidelines apply: Re-grade requests will be accepted only in my office hours from Tuesday, July 22 to Thursday, July 24 Your request must be in writing, and state why you believe you deserve more points on each additional question. It must specifically compare your answers to the answers in the posted solutions. Your exam will be re-graded in its entirety. Your overall score may go up, down, or stay the same. 6 / 25 Exams Today’s Goals Recap Law of Averages Box Models By the end of this lecture... You will be able to: Relate the law of averages to the definition of probability Explain what the law of averages does and does not say Draw a box model to analyze games of chance 7 / 25 Exams Today’s Goals Recap Law of Averages Box Models The Course So Far Thus far we have learned how to: Design experiments and surveys Display and summarize data Use one variable to inform about another Calculate probabilities for games and simple situations Next step: Calculating more complicated probabilities, using box models 8 / 25 Exams Today’s Goals Recap Law of Averages Box Models Probability Theory Recall the frequency theory of probability: probability is the limit of the relative frequency with which an event occurs, in repeated trials P(event A) = lim relative frequency of A n→∞ = lim n→∞ # of times A occurs # of trials As we perform more and more trials, the quantity # of times A happens gets closer and closer to P(event A). # of trials 9 / 25 Exams Today’s Goals Recap Law of Averages Box Models The Law of Averages is... Simple extension of frequency theory of probability. As the number of trials increases: the relative frequency of an event # of times A happens # of trials gets closer and closer to P(A) the difference between the relative frequency of an event and the probability of the event gets smaller (closer to 0) NOT relative frequency of A = probability of A 10 / 25 Exams Today’s Goals Recap Law of Averages Box Models The Law of Averages is NOT... A statement about equality or exactness. As the number of trials increases: the relative frequency of an event DOES NOT equal P(A) the difference between the relative frequency of an event and the probability of the event DOES NOT equal 0 the difference between the number of times an event occurs and the number of times we expect the event to occur DOES NOT equal (or even get closer and closer) to 0 11 / 25 Exams Today’s Goals Recap Law of Averages Box Models Chance Error Let’s define chance error = # observed – # expected If we are rolling a fair die, then P(roll a 6) = ? If we roll a fair die 60 times, how many “6”s do we expect? 12 / 25 Exams Today’s Goals Recap Law of Averages Box Models Example: Dice Throwing If we roll a fair die many, many times, what does the Law of Averages tell us? 13 / 25 Exams Today’s Goals Recap Law of Averages Box Models Example: Dice Throwing (cont.) 0.22 0.18 0.14 Relative Frequency of "6"s Relative Frequency 0 2000 4000 6000 8000 10000 0.02 0.06 Relative Frequency − Probability −0.02 Relative Frequency of "6"s − 1/6 Number of Tosses 0 2000 4000 6000 8000 10000 Number of Tosses 14 / 25 Exams Today’s Goals Recap Law of Averages Box Models Example: Dice Throwing (cont.) If we roll a fair die many, many times, what doesn’t the Law of Averages tell us? 15 / 25 Exams Today’s Goals Recap Law of Averages Box Models Example: Dice Throwing (cont.) (cont.) 500 1000 0 Frequency of "6"s Frequency 0 2000 4000 6000 8000 10000 Number of Tosses −10 −30 −50 Frequency of "6"s − (1/6)Number of Tosses Frequency − Expected Frequency 0 2000 4000 6000 8000 10000 Number of Tosses 16 / 25 Exams Today’s Goals Recap Law of Averages Box Models Example: Dice Throwing (cont.) 1 If you roll a fair die 60 times and observe 12 “6”s, what is your chance error? 2 You win $10 if 20% or more rolls come up “6”. Would you rather roll 60 times or 600 times? 3 You win $10 if between 15% and 18% of rolls come up “6”. Would you rather roll 60 times or 600 times? 17 / 25 Exams Today’s Goals Recap Law of Averages Box Models Example: Losing Streaks You and a friend are flipping coins for money. If it lands “heads” you win $1 from your friend. If it lands “tails” you give your friend $1. You have given your friend $10 in 10 coin flips. You decide to stop, since you’re on such a losing streak. Your friend says you should keep playing, because you are due to win soon (from the law of averages). Which of you is right? Or are you both wrong? 18 / 25 Exams Today’s Goals Recap Law of Averages Box Models Drawing Box Models Recall box models for probability. Make chance processes into draws from a box Connect variability of interest to variability of box 19 / 25 Exams Today’s Goals Recap Law of Averages Box Models Drawing Box Models (cont.) 1 Draw a box 2 Randomly pull desired number of tickets from box 3 Do something with the tickets Often used in gambling problems: net gain = money earned - money spent 20 / 25 Exams Today’s Goals Recap Law of Averages Box Models Drawing Box Models (cont.) Say we are interested the sum of 3 dice rolls. That is, roll the die 3 times, add up the spots on all of the faces. What does our box look like? How many tickets do we draw? How big can the sum be? How small can the sum be? Will every draw be the same? 21 / 25 Exams Today’s Goals Recap Law of Averages Box Models Examples For each situation please specify: The composition of the box How many tickets we draw The minimum and maximum possible 1 Rolling a die 10 times, and adding up the spots seen 2 Rolling a die 10 times, and counting up the even spots seen 3 Rolling a die 10 times, winning $5 if you see an even number, or losing $2 if you see an odd number 22 / 25 Exams Today’s Goals Recap Law of Averages Box Models Examples (cont.) A box contains 500 tickets: 300 “0”s and 200 “1”s. 500 draws will be made with replacement. Which of these best describes the situation, and why? 1 The number of “1”s will be 200 exactly 2 The number of “1”s is likely to be 200, but there is a small chance it will be something else 3 The number of “1s” is likely to be different from 200, but the difference will probably be small compared to 500 What if we draw without replacement instead of with replacement? 23 / 25 Exams Today’s Goals Recap Law of Averages Box Models Examples (cont.) A box contains 5 tickets: -4, -2, 0, 2, 4. 500 draws will be made at random with replacement from the box. 1 If the sum of the 500 numbers drawn is 40, what is their average? 2 If the sum of the 500 numbers drawn is -24, what is their average? There are three ways to win $100 3 (a) If the sum of the 500 numbers drawn is between -10 and +10 (b) If the average of the 500 numbers drawn is between -0.02 and +0.02 (c) If the average of the 500 numbers drawn is between -0.05 and +0.05 Which of these is best? Or are they all equal? Explain. 24 / 25 Exams Today’s Goals Recap Law of Averages Box Models Important Takeaways The law of averages: if an experiment is repeated, as the number of trials increases, the relative frequency of an event gets closer and closer to the probability of that event Chance error = # observed - # expected Box models: indicate the number, and kind of each ticket, the number and kind of draws, what is done with the ticket Next time: More about box models. 25 / 25
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