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by mabbo
3013 days ago
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With one data point, you can't extrapolate much. This is misuse of statistics. Consider if there was a new lottery and you weren't sure what the odds of winning were. You play it three weeks in a row and the third time you win a million dollars. Conveniently, no one else tries the new lottery yet. Does it follow then that the odds of winning a million dollars are 1 in 3? Or should you play it a few more times before you declare to all that one in three plays will make one a millionaire? |
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Assuming that accidents are independent, we can model this as a Poisson point process. If the accident rate is 1 per 100M miles and Uber has driven 3M miles, the probability of there being zero accidents in that time is P{n=0} = ((λt)^n / n!) * e^(-λt), where λ=1/100M and t=3M. Doing the math, it seems that's 97.04%.
So, yes. It is possible that Uber's accident rate is 1 in 100 million. If so, this incident would fall in that remaining 3%. It's unlikely, but possible.