5 questions to test your understanding
A disease affects 1 in 1,000 people. A diagnostic test has a likelihood ratio of 50 (it is 50× more likely to return positive if the patient has the disease). You test positive. What is approximately your posterior probability of having the disease?
What does a likelihood ratio P(e|h) / P(e|¬h) close to 1 tell you about the evidence e?
Two investigators studying the same hypothesis start with very different prior probabilities but observe the same evidence. They will assign the same likelihood ratio to that evidence.
If evidence e confirms hypothesis h — that is, P(h|e) > P(h) — then observing e is sufficient justification to believe h.
Two confirming observations e1 and e2 each have a likelihood ratio of 20. Explain under what condition their combined likelihood ratio equals 400, and why this condition often fails in practice.