An examination of topics involved in statistical reasoning with imprecise probabilities. The book discusses assessment and elicitation, extensions, envelopes and decisions, the importance of imprecision, conditional previsions and coherent statistical models.

"[This book] proposes new foundations for the Bayesian principle of rational action, and goes on to develop a new logic of desirability and probabtility."—Frederic Schick, _Journal of Philosophy_.

The standard use of the propositional calculus ('P.C.?) in analyzing the validity of inferences involving conditionals leads to fallacies, and the problem is to determine where P.C. may be ?safely? used. An alternative analysis of criteria of reasonableness of inferences in terms of conditions of justification rather than truth of statements is proposed. It is argued, under certain restrictions, that P. C. may be safely used, except in inferences whose conclusions are conditionals whose antecedents are incompatible with the premises in (...) the sense that if the antecedent became known, some of the previously asserted premises would have to be withdrawn. (shrink)

This book provides a frequentist semantics for conditionalization on partially known events, which is given as a straightforward generalization of classical conditional probability via so-called probability testbeds. It analyzes the resulting partial conditionalization, called frequentist partial (F.P.) conditionalization, from different angles, i.e., with respect to partitions, segmentation, independence, and chaining. It turns out that F.P. conditionalization meets and generalizes Jeffrey conditionalization, i.e., from partitions to arbitrary collections of events, opening it for reassessment and a range of potential applications. A counterpart (...) of Jeffrey’s rule for the case of independence holds in our frequentist semantics. This result is compared to Jeffrey’s commutative chaining of independent updates. -/- The postulate of Jeffrey's probability kinematics, which is rooted in the subjectivism of Frank P. Ramsey, is found to be a consequence in our frequentist semantics. This way the book creates a link between the Kolmogorov system of probability and one of the important Bayesian frameworks. Furthermore, it shows a preservation result for conditional probabilities under the full update range and compares F.P. semantics with an operational semantics of classical conditional probability in terms of so-called conditional events. Lastly, it looks at the subjectivist notion of desirabilities and proposes a more fine-grained analysis of desirabilities a posteriori. This book appeals to researchers who are involved in any kind of knowledge processing systems. F.P. conditionalization is a straightforward, fundamental concept that fits human intuition, and is systematically linked to one of the important Bayesian frameworks. As such, the book is interesting for anybody investigating the semantics of reasoning systems. (shrink)

Richard Jeffrey is beyond dispute one of the most distinguished and influential philosophers working in the field of decision theory and the theory of knowledge. His work is distinctive in showing the interplay of epistemological concerns with probability and utility theory. Not only has he made use of standard probabilistic and decision theoretic tools to clarify concepts of evidential support and informed choice, he has also proposed significant modifications of the standard Bayesian position in order that it provide a better (...) fit with actual human experience. Probability logic is viewed not as a source of judgment but as a framework for explaining the implications of probabilistic judgments and their mutual compatability. This collection of essays spans a period of some 35 years and includes what have become some of the classic works in the literature. There is also one completely new piece, while in many instances Jeffrey includes afterthoughts on the older essays. (shrink)

Considers that intuitive predictions follow a judgmental heuristic-representativeness. By this heuristic, people predict the outcome that appears most representative of the evidence. Consequently, intuitive predictions are insensitive to the reliability of the evidence or to the prior probability of the outcome, in violation of the logic of statistical prediction. The hypothesis that people predict by representativeness was supported in a series of studies with both naive and sophisticated university students. The ranking of outcomes by likelihood coincided with the ranking by (...) representativeness, and Ss erroneously predicted rare events and extreme values if these happened to be representative. The experience of unjustified confidence in predictions and the prevalence of fallacious intuitions concerning statistical regression are traced to the representativeness heuristic. (shrink)

Lance Rips describes a unified theory of natural deductive reasoning and fashions a working model of deduction, with strong experimental support, that is capable of playing a central role in mental life.

Three experiments are reported which show that in certain contexts subjects reject instances of the valid modus ponens and modus tollens inference form in conditional arguments. For example, when a conditional premise, such as: If she meets her friend then she will go to a play, is accompanied by a conditional containing an additional requirement: If she has enough money then she will go to a play, subjects reject the inference from the categorical premise: She meets her friend, to the (...) conclusion: She will go to a play. Other contexts suppress the conditional fallacies. The first experiment demonstrates the effects of context on conditional reasoning. The second experiment shows that the inference suppression disappears when the categorical premise refers to both of the antecedents, such as: She meets her friend and she has enough money. In this case, subjects make both the valid inferences and the fallacies, regardless of the contextual information. The third experiment establishes that when subjects are given general information about the duration of a situation in which a conditional inducement was uttered, such as: If you shout then I will shoot you, they reject both the valid inferences and the fallacies. The results suggest that the interpretation of premises plays an even more central role in reasoning than has previously been admitted. Trois expériences montrent que dans certains contextes les sujets rejettent des instances valides de modus ponens et de modus tollens dans des énoncés conditionnels. Par exemple, quand une prémisse conditionnelle comme: Si elle rencontre son ami, alors elle ira jouer, est accompagnée par une phrase contenant une condition supplémentaire: Si elle a assez d'argent, alors elle ira jouer, les sujets rejettent l'inférence liant la prémisse catégorielle: Elle rencontre son ami, à la conclusion: Elle ira jouer. D'autres contextes éliminent également les inférences conditionnelles fallacieuses. La premiére expérience démontre l'effet du contexte sur la raisonnement conditionnel. La deuxiéme expérience montre que la suppression de l'inférence disparait quand la prémisse catégorielle fait référence aux deux antécédants, comme: Elle rencontre son ami et elle a assez d'argent. Dans ce cas, les sujets font aussi bien les inférences valides et fallacieuses, quelle que soit l'information contextuelle. La troisiéme expérience établit que quand l'on donne aux sujets des informations générales à propos de la durée d'une situation dans laquelle une conditionnelle a été prononcée, comme Si tu cries, alors je te tire dessus, ils rejettent autant les inférences valides que les inférences fallacieuses. Ces résultats suggèrent que l'interprétation des prémisses joue un rŏle encore plus central dans le raisonnement que l'on admettait auparavant. (shrink)

We investigated how people interpret conditionals and how stable their interpretation is over a long series of trials. Participants were shown the colored patterns on each side of a six-sided die, and were asked how sure they were that a conditional holds of the side landing upwards when the die is randomly thrown. Participants were presented with 71 trials consisting of all combinations of binary dimensions of shape (e.g., circles and squares) and color (e.g., blue and red) painted onto the (...) sides of each die. In two experiments (N1 = 66, N2 = 65), the conditional event was the dominant interpretation, followed by conjunction, and material conditional responses were negligible. In both experiments, the percentage of participants giving a conditional event response increased from around 40% at the beginning of the task to nearly 80% at the end, with most participants shifting from a conjunction interpretation. The shift was moderated by the order of shape and color in each conditional’s antecedent and consequent: participants were more likely to shift if the antecedent referred to a color. In Experiment 2 we collected response times: conditional event interpretations took longer to process than conjunction interpretations (mean difference 500 ms). We discuss implications of our results for mental models theory and probabilistic theories of reasoning. (shrink)

Logical argument forms are investigated by second order probability density functions. When the premises are expressed by beta distributions, the conclusions usually are mixtures of beta distributions. If the shape parameters of the distributions are assumed to be additive (natural sampling), then the lower and upper bounds of the mixing distributions (P´olya-Eggenberger distributions) are parallel to the corresponding lower and upper probabilities in conditional probability logic.

The paper investigates exchangeability in the context of probability logic. We study generalizations of basic inference rules and inferences involving cardinalities. We compare the results with those obtained in the case in which only identical probabilities are assumed.

We investigate how the perceived uncertainty of a conditional affects a person's choice of conclusion. We use a novel procedure to introduce uncertainty by manipulating the conditional probability of the consequent given the antecedent. In Experiment 1, we show first that subjects reduce their choice of valid conclusions when a conditional is followed by an additional premise that makes the major premise uncertain. In this we replicate Byrne. These subjects choose, instead, a qualified conclusion expressing uncertainty. If subjects are given (...) a third statement that qualifies the likelihood of the additional premise, then the uncertainty of the conclusions they choose is systematically related to the suggested uncertainty. Experiment 2 confirms these observations in problems that omit the additional premise and qualify the first premise directly. Experiment 3 shows that the qualifying statement also affects the perceived probability of the consequent given the antecedent of the conditional. Experiment 4 investigates the effect of suggested uncertainty on the fallacies and shows that increases in uncertainty reduce the number of certain conclusions that are chosen while affirming the consequent but have no effect on denying the antecedent. We discuss our results in terms of rule theories and mental models and conclude that the latter give the most natural account of our results. (shrink)

We have been oversold on the base rate fallacy in probabilistic judgment from an empirical, normative, and methodological standpoint. At the empirical level, a thorough examination of the base rate literature (including the famous lawyer–engineer problem) does not support the conventional wisdom that people routinely ignore base rates. Quite the contrary, the literature shows that base rates are almost always used and that their degree of use depends on task structure and representation. Specifically, base rates play a relatively larger role (...) in tasks where base rates are implicitly learned or can be represented in frequentist terms. Base rates are also used more when they are reliable and relatively more diagnostic than available individuating information. At the normative level, the base rate fallacy should be rejected because few tasks map unambiguously into the narrow framework that is held up as the standard of good decision making. Mechanical applications of Bayes's theorem to identify performance errors are inappropriate when (1) key assumptions of the model are either unchecked or grossly violated, and (2) no attempt is made to identify the decision maker's goals, values, and task assumptions. Methodologically, the current approach is criticized for its failure to consider how the ambiguous, unreliable, and unstable base rates of the real world are and should be used. Where decision makers' assumptions and goals vary, and where performance criteria are complex, the traditional Bayesian standard is insufficient. Even where predictive accuracy is the goal in commonly defined problems, there may be situations (e.g., informationally redundant environments) in which base rates can be ignored with impunity. A more ecologically valid research program is called for. This program should emphasize the development of prescriptive theory in rich, realistic decision environments. (shrink)

This commentary discusses three points: (1) The implications of the fact that it is rational to ignore base rates if probabilities are estimated by frequencies from samples without missing data (natural sampling); (2) second order probabilities distributions are a plausible way to model imprecise probabilities; and (3) Bayesian networks represent a normative reference for multi-cue models of probabilistic inference.

ABSTRACTTo build a process model of the understanding of conditionals we extract a common core of three semantics of if-then sentences: the conditional event interpretation in the coherencebased probability logic, the discourse processingtheory of Hans Kamp, and the game-theoretical approach of Jaakko Hintikka. The empirical part reports three experiments in which each participant assessed the probability of 52 if-then sentencesin a truth table task. Each experiment included a second task: An n-back task relating the interpretation of conditionals to working memory, (...) a Bayesian bookbag and poker chip task relating the interpretation of conditionals to probability updating, and a probabilistic modus ponens task relating the interpretation of conditionals to a classical inference task. Data analysis shows that the way in which the conditionals are interpreted correlates with each of the supplementary tasks. The results are discussed within the process model proposed in the introduction. (shrink)

Using formal systems to represent and reason about uncertainty.

Studies of categorical induction typically examine how belief in a premise (e.g., Falcons have an ulnar artery) projects on to a conclusion (e.g., Robins have an ulnar artery). We study induction in cases in which the premise is uncertain (e.g., There is an 80% chance that falcons have an ulnar artery). Jeffrey's rule is a normative model for updating beliefs in the face of uncertain evidence. In three studies we tested the descriptive validity of Jeffrey's rule and a related probability (...) theorem, the rule of total probability. Although these rules provided good approximations to mean judgments in some cases, the results from regression and correlation analyses suggest that participants focus on the parts of these rules that are associated with the highest overall probability. We relate our findings to rational models of judgment. (shrink)

The new paradigm in the psychology of reasoning adopts a Bayesian, or prob- abilistic, model for studying human reasoning. Contrary to the traditional binary approach based on truth functional logic, with its binary values of truth and falsity, a third value that represents uncertainty can be introduced in the new paradigm. A variety of three-valued truth table systems are available in the formal literature, including one proposed by de Finetti. We examine the descriptive adequacy of these systems for natural language (...) indicative condi- tionals and bets on conditionals. Within our framework the so-called “defective” truth table, in which participants choose a third value when the antecedent of the indicative conditional is false, becomes a coherent response. We show that only de Finetti’s system has a good descriptive fit when uncer- tainty is the third value. (shrink)

THE INDICATIVE CONDITIONAL. A PROBABILISTIC CRITERION OF SOUNDNESS FOR DEDUCTIVE INFERENCES Our objective in this section is to establish a prima facie case ...

This book offers a concise survey of basic probability theory from a thoroughly subjective point of view whereby probability is a mode of judgment. Written by one of the greatest figures in the field of probability theory, the book is both a summation and synthesis of a lifetime of wrestling with these problems and issues. After an introduction to basic probability theory, there are chapters on scientific hypothesis-testing, on changing your mind in response to generally uncertain observations, on expectations of (...) the values of random variables, on de Finetti's dissolution of the so-called problem of induction, and on decision theory. (shrink)

Are people rational? This question was central to Greek thought and has been at the heart of psychology and philosophy for millennia. This book provides a radical and controversial reappraisal of conventional wisdom in the psychology of reasoning, proposing that the Western conception of the mind as a logical system is flawed at the very outset. It argues that cognition should be understood in terms of probability theory, the calculus of uncertain reasoning, rather than in terms of logic, the calculus (...) of certain reasoning. (shrink)

We propose probability logic as an appropriate standard of reference for evaluating human inferences. Probability logical accounts of nonmonotonic reasoning with system p, and conditional syllogisms (modus ponens, etc.) are explored. Furthermore, we present categorical syllogisms with intermediate quantifiers, like the “most . . . ” quantifier. While most of the paper is theoretical and intended to stimulate psychological studies, we summarize our empirical studies on human nonmonotonic reasoning.

Probability logic studies the properties resulting from the probabilistic interpretation of logical argument forms. Typical examples are probabilistic Modus Ponens and Modus Tollens. Argument forms with two premises usually lead from precise probabilities of the premises to imprecise or interval probabilities of the conclusion. In the contribution, we study generalized inference forms having three or more premises. Recently, Gilio has shown that these generalized forms ``degrade'' -- more premises lead to more imprecise conclusions, i. e., to wider intervals. We distinguish (...) different forms of degradation. We analyse Predictive Inference, Modus Ponens, Bayes' Theorem, and Modus Tollens. Special attention is devoted to the case where the conditioning events have zero probabilities. Finally, we discuss the relation of degradation to monotonicity. (shrink)

An important field of probability logic is the investigation of inference rules that propagate point probabilities or, more generally, interval probabilities from premises to conclusions. Conditional probability logic (CPL) interprets the common sense expressions of the form “if . . . , then . . . ” by conditional probabilities and not by the probability of the material implication. An inference rule is probabilistically informative if the coherent probability interval of its conclusion is not necessarily equal to the unit interval (...) [0, 1]. Not all logically valid inference rules are probabilistically informative and vice versa. The relationship between logically valid and probabilistically informative inference rules is discussed and illustrated by examples such as the modus ponens or the affirming the consequent. We propose a method to evaluate the strength of CPL inference. (shrink)