zuai-logo

Glossary

B

Biased chance device

Criticality: 2

A chance device that does not accurately represent the true probabilities of the outcomes in the random process it is intended to model, leading to skewed results.

Example:

Using a coin that is weighted to land on heads 70% of the time when simulating a fair coin flip would be an example of a biased chance device.

C

Chance device

Criticality: 2

A tool or method used in a simulation to imitate the random process being studied, ensuring outcomes are determined by chance.

Example:

In a simulation to model winning a prize with a 20% chance, a random number generator where 0-19 represents a win acts as the chance device.

E

Event

Criticality: 2

A collection of one or more specific outcomes from a random process, often defined by a particular characteristic.

Example:

When rolling a die, getting an 'even number' (2, 4, or 6) is an event.

L

Law of Large Numbers (LLN)

Criticality: 3

A fundamental principle stating that as the number of trials or repetitions of a random process increases, the observed (empirical) probability of an event will converge towards its true theoretical probability.

Example:

The Law of Large Numbers explains why, after many coin flips, the proportion of heads will get closer and closer to 0.5, even if short runs show deviations.

O

Outcomes

Criticality: 2

The result of a single instance or trial of a random process.

Example:

When flipping a coin, getting 'Heads' is an outcome.

P

Probability

Criticality: 3

A numerical measure, between 0 and 1, that quantifies the likelihood of an event occurring, representing the long-run proportion of times the event would happen.

Example:

The probability of rolling a 4 on a fair six-sided die is 1/6.

R

Random processes

Criticality: 2

Processes where the results or outcomes are determined by chance, meaning their exact outcome cannot be predicted beforehand.

Example:

Rolling a standard six-sided die is a random process because you can't predict which face will land up.

S

Simulations

Criticality: 3

A method used to model random events, creating synthetic data based on assumptions to understand patterns and estimate probabilities.

Example:

To estimate the probability of a basketball player making 3 free throws in a row, you could run a simulation by flipping a coin multiple times for each shot.

T

Trial (Simulation Trial)

Criticality: 3

A single repetition of a simulation process, designed to imitate one instance of the real-world random event being studied.

Example:

If you're simulating a basketball player making 3 free throws, one sequence of 3 simulated shots (e.g., using random numbers) constitutes a single trial.